Former managing director of Wintech group limited arrested by Australian regulator

Mr Kim Wong, former Managing Director of Wintech Group Limited (Wintech), has appeared in the Melbourne Magistrates' Court after his arrest on nine criminal charges following an ASIC investigation.

Mr Wong has been charged with eight counts of contravening section 1307(1) and one count of contravening section 1309(1) of the Corporations Act 2001 (the Act).

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ASIC alleges that Mr Wong engaged in conduct between 18 February and 27 April 2009 that resulted in the falsification of Wintech's books by:

- causing false entries to be made in a spreadsheet of shareholders which was subsequently given to Registries Limited, Wintech's shareholder registry service provider; and
- causing false share transfer forms to be created that resulted in the transfer of Wintech shares between shareholders.

ASIC also alleges that Mr Wong authorised, permitted the making available, or gave false or misleading information to Australian Stock Exchange Limited (ASX) regarding Wintech's affairs in that he authorised or made available the shareholder spreadsheet containing false entries to the ASX.

Each of the charges under section 1307(1) of the Act carries a maximum penalty of $11,000 or imprisonment for two years or both. The charge under section 1309(1) carries a maximum penalty of $22,000 or imprisonment for five years or both.

Mr Wong was granted bail subject to the following conditions:

- that a surety of $100,000 be given to the Court;
- that he report twice a week to Kew Police Station;
- that he not attend international points of departure; and
- that he surrender his passport to ASIC.

Mr Wong has been taken into custody pending the posting of surety.

The matter, which is being prosecuted by the Commonwealth Director of Public Prosecutions, has been set down for a committal mention hearing on 23 May 2011.