THE Court of Appeal has unanimously dismissed appeals by former WCT Bhd (WCT) deputy managing director Goh Chin Liong and Ara Holdings Sdn Bhd director Leong Ah Chai, affirming a High Court ruling that held both individuals liable for insider trading breaches and upheld a RM5.83 million civil judgment in favour of the Securities Commission Malaysia (SC).
The three-member appellate panel comprising Justices Datuk Mohamed Zaini Mazlan, Datuk Leonard David Shim and Datuk Hajah Aliza Sulaiman rejected both appeals with costs of RM100,000 each, finding that there was no appealable error in the High Court’s 2022 judgment that warranted intervention.
The Court of Appeal also maintained the High Court’s order requiring Goh and Leong to each pay RM2,542,184.70 in disgorgement of losses avoided, RM300,000 in civil penalties and RM75,000 in costs to the SC.
The case originated from a civil action filed by the SC in 2015 against the two defendants for alleged insider trading offences under Sections 188(2) and 188(3) of the Capital Markets and Services Act 2007 (CMSA).
During proceedings, the SC presented evidence that Goh had provided Leong with material non-public information relating to the cancellation of a contract for the proposed construction of a racecourse in Dubai, United Arab Emirates.
The contract had earlier been awarded to a joint venture company established by WCT and Arabtec Construction LLC.
Following the alleged disclosure of confidential information, Leong sold 1.64 million WCT shares through Ara Holdings’ trading account between 2 and 5 January 2009.
After a full trial, then High Court judge Yang Arif Dato’ Ahmad Zaidi Ibrahim ruled in favour of the SC, finding that Goh and Leong had breached insider trading provisions under the CMSA.
The latest appellate decision strengthens the regulator’s enforcement efforts to safeguard market integrity and reinforce accountability among individuals with access to confidential corporate information.
Earlier on 26 May 2026, the SC successfully appealed at the High Court to reinstate garnishee orders against Goh and Leong, allowing enforcement action to continue for recovery of the RM5.83 million judgment sum.
Following the Court of Appeal’s dismissal of the appeals, the SC said it would proceed with further measures to recover the outstanding judgment amount from both defendants.
The ruling represents another significant enforcement outcome for Malaysia’s capital market regulator, reinforcing investor confidence, strengthening corporate governance standards and deterring the misuse of privileged information for unlawful trading activities. - July 14, 2026
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