David Li, chairman and chief executive of the Bank of East Asia, headquartered in Hong Kong could face charges over possible insider trading in the Dow Jones takeover bid by News Corporation.

The tycoon is a Dow Jones board member since 1993 and one of Hong Kong’s leading businessmen. He is suspected by the Securities and Exchange Commission of giving away confidential information regarding Rupert Murdoch’s bid to take over company, allegations that Li denied.

The SEC said Li has received a notification that charges could be filed against him over insider trading that lead to a jump of Dow Jones shares in late April. Li has been connected with couple in Hong Kong, Charlotte Wong Leung Ka-On and Wong Kan-King who bought a large amount of Dow Jones shares in a couple of days, just before Murdoch’s offer was made public on May 1.

According to investigators, the couple made a profit of 8,2 million dollars in a short period, prompting speculations that they benefited from a leakage of information. Charlotte Leung’s father, Michael is reportedly a close friend and business partner of the 68-year-old tycoon, but Li firmly denied any implication in this profitable deal saying not even his wife known about the 5-billion-dollars bid made by News Corporation.

London-born Li issued a statement on Thursday through the Bank of East Asia in which he firmly denied the charges, but no further comments from the third largest bank in Hong Kong were made.