Hong Kong’s financial regulator has launched criminal proceedings against Simon Sadler, the owner of Blackpool Football Club, and the hedge fund he founded, Segantii Capital Management, over allegations of insider trading.
The Securities and Futures Commission also said it had started proceedings against former Segantii trader Daniel LaRocca. Sadler and LaRocca were both released on a cash bail of HK$1 million (£102,000) and HK$500,000 respectively. Segantii pledged to “defend itself vigorously” against the charges.
The charges relate to a block trade in the shares of an unnamed company listed on the Hong Kong stock exchange in June 2017.
Block trades are share sales that are big enough to depress a company’s share price so banks arrange the transactions privately away from public exchanges, selling the