Question

Based on the above case facts, what you have learned andyour own research, advise whether any parties havebreached any rules and the possible sanctions. (Length: nomore than 1,500 words)

(Please reply in details. Thank so much.)

Opulence Limited (the Company') is a company listed on the Stock Exchange of Hong Kong Limited ("SEHK') engaging in non-clinical research focused on drug safety assessment. Brian and Calvin are the directors who own a substantial number of shares in the Company. Brian's wife, Doris, is a speculator in stock investments and has an active investment account in the Profit Bank. On her birthday in September 2020. Brian gave her HK$10 million as a birthday gift. Doris deposited the money received from Brian in her own investment account. She then instructed the account manager of Profit Bank to purchase a substantial quantity of ordinary shares of the Company. Immediately after the share deal was completed, Doris sent Brian a text that read, "My Honey, thank you very much for the lovely birthday gift. I have used all of it to purchase shares in the Company. Brian was in a meeting when the message was delivered to his mobile phone. After the meeting, Brian read her message on his mobile phone but did not proceed to arrange for disclosure of Doris interest in the shares of the Company. Brian and Calvin recently received a letter of offer from the Medical Council informing them that the Company had been awarded a contract worth HK$1 billion to design a new drug safety assessment process. Calvin would be in charge of this project. However, he accidentally left the letter on his desk. Ethan, the chief accountant of the Company, read the letter while looking for Calvin, who had already left the office. Ethan then used the money he recently won from betting on horse races to buy some shares in the Company. After the news about the HK$1 billion contract was publicly announced, the Company's shares increased by 15%. Ethan made some profits. Based on the above case facts. what you have learned from and your own research, advise whether any parties have breached any rules and the possible sanctions. (Length: no more than 1,500 words)