A Dow Jones & Company board member may face civil charges an insider trading investigation linked to News Corporation's $5 billion bid for the US media company.
David Li, chairman and chief executive officer of Bank of East Asia, is being investigated by the Securities and Exchange Commission (SEC). He today denied any wrongdoing.
"I have broken no laws and deny the apparent allegations being made by the staff of the commission. If the commission does commence proceedings against me, I will defend myself vigorously," Mr Li (68) said.
Bank of East Asia said on Thursday that Mr Li received notice indicating that the SEC was considering recommending a civil enforcement action against him for alleged breaches of US securities laws.
The notice gives him a final chance to convince the SEC not to file charges.
The SEC's notice to Mr Li comes at critical moment for Dow Jones, which on Tuesday endorsed the $60 a share buyout offer from News Corporation chairman and chief executive Rupert Murdoch.
The board's approval sends the deal to Dow Jones' controlling Bancroft family for final approval.