The Bank of Lithuania had been observing trading in Ūkio Bankas stocks for the several past months, Vaidas Cibas, the head of the Regulated Market Supervision Division of the central bank, told BNS.
“All the transactions that seemed suspicious to us have been recorded, and the persons involved are known to us as well. A thorough investigation is being conducted now and it is still premature to speak about its results. I cannot disclose any details now since it might affect the investigation,” he said.
Cibas would not speculate how long the probe might last.
The Lithuanian Investors’ Association on Friday asked the central bank to investigate whether the investors selling Ūkio Bankas stocks before the suspension of its operations could have had insider information. According to the association, trading in Ūkio Bankas stocks was more active than usual in February and its stock price mostly fell, sometimes considerably.
The central bank suspended the operations of Ūkio Bankas on February 12. Trading in the bank’s stocks on the stock exchange was suspended on the same day. Ūkio Bankas stock price fell by 18.4 percent between February 1 and 12 and its turnover totaled 707,500 euros in that period. For comparison, in January, Ūkio Bankas’ turnover on the stock exchange made up 294,200 euros.
The use of insider information in stock trading is banned in Lithuania in accordance with the Law on Markets in Financial Instruments.
