SEC upholds PSE order on lifetime director ban on Joseph Calata, delisting of the agribusiness firm
Controversial businessman Joseph Calata has been barred for life from working as a director or officer of a public company.
This after the Securities and Exchange Commission’s five man-collegial body upheld the Philippine Stock Exchange’s decision to perpetually ban the 38-year old businessman from directorship in any listed corporation and to delist the agribusiness firm from the stock exchange.
The PSE also ordered the disqualification of other Calata officials namely Jose Marie Fabella, Halmond Parker Ong, Melvin Calata, Johnny Uy, Edmund Solilapsi, and Conrado Zablan.
Calata was removed from the roster of PSE stocks on Dec. 11, 2017 for 29 violations of the disclosure rules, such as failure to disclose trade transactions over shares held by its director/officer.
The agri company was also found to have committed 26 violations of the “black-out rule,” which bars insider trading.
Prior to the delisting, trading on Calata shares had been suspended since June 30, 2017. It was listed on the Philippine Stock Exchange on May 23, 2012. Its share price zoomed 200 percent in just two weeks after listing.
In 2017, the SEC filed criminal charges with the Department of Justice (DOJ) against Calata and its top officials for allegedly making misleading statements with respect to a planned P65-billion integrated gaming resort project in Mactan, Cebu.
In 2012, Calata figured in a stock price manipulation scandal that led to the filing by the SEC of criminal charges against individuals who helped push the share price up.