The Hong Kong Securities and Futures Commission (SFC) announced on January 14 that it has obtained a disqualification order from the Court of First Instance against former executive director of NUR HOLDINGS Limited (NUR HOLDINGS, 00254), Lo Ka Wai. The order prohibits Lo from acting as a director, liquidator, receiver, or manager of any listed or unlisted corporation in Hong Kong, or from participating in the management of any such corporation, for a period of three years. Lo was also ordered to pay the SFC's costs for these legal proceedings. The SFC found that in 2015, a subsidiary of NUR HOLDINGS entered into two back-to-back fuel supply and sale transactions which constituted fictitious trades, as both the customer and supplier were controlled by NUR HOLDINGS or persons closely connected to it, and the supporting bills of lading were not genuine documents. Lo admitted to having caused the subsidiary to enter into the aforementioned transactions and to approving payments totalling HK$302 million from NUR HOLDINGS to its subsidiary for the purported settlement of the fictitious supply transactions, thereby breaching his duties and acting negligently, which led the court to issue the disqualification order. Had Lo properly fulfilled his responsibilities as a reasonably prudent director of NUR HOLDINGS, he should have recognized the transactions' minimal commercial value, including their extremely low gross profit margins and a severe mismatch in credit terms. Furthermore, Lo approved the release of NUR HOLDINGS' 2015 annual results and report, which contained false or misleading statements related to these transactions. Legal proceedings by the SFC against other former directors and senior personnel of NUR HOLDINGS are still ongoing. According to information from the SFC, NUR HOLDINGS has been listed on the Main Board of The Stock Exchange of Hong Kong Limited since November 16, 1972 (Stock Code: 00254). At all material times, NUR HOLDINGS and its subsidiaries primarily operated three business segments, including trading of coking coal, aluminium rods, and fuel; an online platform business; and media and advertising businesses. Lo served as an executive director of NUR HOLDINGS from October 17, 2013, to May 19, 2017.