The Court of First Instance has granted an interim injunction order against a suspected manipulator of the shares of Eggriculture Foods Limited (Eggriculture) in legal proceedings brought by the Securities and Futures Commission (SFC) under section 213 of the Securities and Futures Ordinance (SFO) (Note 1).
Pursuant to the Court order, the suspect, who allegedly manipulated Eggriculture shares between 7 September 2018 and 5 November 2018, is prohibited from disposing of, dealing with, diminishing the value of, or removing from Hong Kong, assets in certain securities and bank accounts owned by the suspect up to the value of around $62.6 million. The interim injunction order ensures that there will be funds available to meet any potential order by the Court, if the Court finds that the suspected manipulator contravened provisions of the SFO.
The interim injunction order remains in effect up to the determination of the SFC’s section 213 proceedings or further order of the Court.
In parallel, this interim injunction order and the SFC’s section 213 proceedings are part of a broader enforcement action taken against the alleged sophisticated ramp-and-dump market manipulation. The suspected market manipulator is one of the five defendants in criminal proceedings, the trial of which will commence at the District Court on 13 July 2026. The defendants were charged with various offences, including the offence of conspiracy to defraud or alternatively, the offence of conspiracy to employ a scheme with intent to defraud or deceive in securities transactions under common law, the SFO and/or the Crimes Ordinance for the same alleged misconduct (Notes 2 and 3).
The SFC will not make further comments as legal proceedings are ongoing.
Notes:
- Eggriculture was listed on the GEM of the Stock Exchange of Hong Kong Limited on 7 September 2018 and subsequently delisted with effect from 6 January 2025.
- Please see the SFC’s press releases dated 4 April 2023, 6 April 2023, 17 April 2023, 19 June 2024, 9 July 2024, 12 November 2024, 25 March 2025 and 29 August 2025.
- Section 300 of the SFO and sections 159A and 159C of the Crimes Ordinance.
