The Hong Kong Securities and Futures Commission filed lawsuits against CITIC Limited, its former chairman and four of its other former executive directors related to the company’s alleged publication of “false and misleading” information regarding its finances on September 12, 2008. According to SFC, the company failed in its publication to disclose that it had incurred “massive losses” from leveraged foreign exchange trading. Shortly afterwards, on October 20, 2008, the company in fact disclosed such losses which it claimed were incurred in connection with managing the risk of its exposure to an Australian iron ore mining project. SFC charges that the five directors were aware of the losses on September 7, prior to the September 12 publication. SFC seeks as a penalty an amount to reimburse investors who purchased CITIC shares after the September 12 publication and lost money when CITIC’s share price later collapsed after the October 20 announcement.