The Securities and Exchange Commission and Philippine Stock Exchange ordered the suspension of trading operations of Abra Mining and Industrial Corp. starting 4 March for sale of shares in excess of its listed stocks.
Based on their investigation, the Philippine Depository and Trust Corp., SEC and PSE said the loss-making firm, owned by James G. Beloy and family, was found to have violated stock market regulations on three counts:
* AR’s fully paid issued and outstanding shares exceeded the number of its listed shares, in contravention of PSE’s rule that all fully paid issued and outstanding shares should be applied for listing;
* AR’s shares lodged with PDTC exceeded its listed shares, in contravention of PSE’s rule that only securities approved for listing should be lodged with PDTC for trading; and
* AR’s shares lodged with PDTC overshot its issued and outstanding shares (based on its audited financial statements) which means that shares that were not yet reflected in its books have been lodged with PDTC and were being traded, in contravention of the provisions of the Revised Corporation Code.
The SEC and PSE said the suspension would remain in effect “until the above matters are satisfactorily resolved by the company’ s directors, officers, corporate secretary, and its stock and transfer agent (Asian Transfer & Registry Corp).”
AR surged 107 percent to 29 centavos from 14 centavos through the whole of 2020. It went on supersonic mode in 2021 as it hit a peak of 1.33 centavos in January 2020.
It closed trading at .46 centavos on Wednesday (March 3, 2021).
Bilyonaryo.com’s insider column, “Burst Your Babble”, posted a blind item on 7 February 2021 about a “high-flying stock walking on thin ice due to its messy public ownership. records.”