JAKARTA ~ A share trader is facing six years in jail for spreading rumors about liquidity crises in local banks, police said.

Erick Ardiansyah, an equity sales official at PT Bahana Securities, was arrested Saturday after a bank complained about false rumours circulating in the market, police spokesman Abubakar Nataprawira said on Monday.

“Erick sent out emails saying that several banks were facing liquidity problems and had trouble with their interbank transactions,” he said.

“We did our checks and found that these were untrue… the banks have no such problems. If found guilty, Erick can be jailed for six years.”

The emails reportedly said: “Market news stated that several Indo banks are having liquidity problems and have failed to complete interbank transactions.”

It named six banks before concluding: “We will keep you updated.”

Officials at the banks could not be immediately reached for comment. Bahana issued a statement on Sunday, saying it had no knowledge of its employee’s actions.

Bank Indonesia said it supported efforts by banks and the police to act against “those who jeopardize the stability of the banking system.”