Newsletter – December 2017

Content

  1. Court sets pre-trial date for insider dealing case
  2. Court dismisses challenge to SFC’s search warrant and provision of information to Mainland regulator
  3. SFC bans Abbie Yip Ka Ying for 18 months
  4. SFC reprimands and fines FXCM Asia Limited HK$2 million
  5. SFC reprimands and fines Standard Chartered Securities (Hong Kong) Limited HK$2.6 million

 

1. Court sets pre-trial date for insider dealing case

On 8 December 2017, the Eastern Magistrates’ Court adjourned the criminal proceedings brought by the SFC against Mr Au-Yeung Siu Pang to 26 January 2018 for a pre-trial review after he pleaded not guilty to charges of insider dealing in the shares of China CBM Group Company Limited.

For more details, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/doc?refNo=17PR145; and

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/doc?refNo=17PR120

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2. Court dismisses challenge to SFC’s search warrant and provision of information to Mainland regulator

On 8 December 2017, the Court of First Instance has made a decision dismissing a challenge lodged by Mr Tang Hanbo against the search warrant obtained by the SFC for an ongoing investigation into suspected breaches of the Takeovers Code and suspected offences under the Securities and Futures Ordinance.

For more details, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/doc?refNo=17PR146

For a copy of the Court of Appeal’s judgment, please refer to:

http://legalref.judiciary.hk/lrs/common/search/search_result_detail_frame.jsp?DIS=112254&QS=%2B&TP=JU

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3. SFC bans Abbie Yip Ka Ying for 18 months

On 13 December 2017, the SFC has banned Ms Abbie Yip Ka Ying, a former trader of BNP Paribas, Hong Kong Branch, from re-entering the industry for 18 months for breach of the Code of Conduct over her attempts to conceal a trade execution error.

For more details, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/doc?refNo=17PR149

For a copy of the Statement of Disciplinary Action, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/openAppendix?refNo=17PR149&appendix=0

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4. SFC reprimands and fines FXCM Asia Limited HK$2 million

On 13 December 2017, the SFC has reprimanded and fined FXCM Asia Limited (now known as Rakuten Securities Hong Kong Limited) HK$2 million for regulatory breaches and internal control failings relating to under-segregation of client money.

For more details, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/doc?refNo=17PR150

For a copy of the Statement of Disciplinary Action, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/openAppendix?refNo=17PR150&appendix=0

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5. SFC reprimands and fines Standard Chartered Securities (Hong Kong) Limited HK$2.6 million

On 18 December 2017, the SFC has reprimanded and fined Standard Chartered Securities (Hong Kong) Limited HK$2.6 million for internal control failures relating to short selling orders and breach of the Securities and Futures (Financial Resources) Rules.

For more details, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/doc?refNo=17PR152

For a copy of the Statement of Disciplinary Action, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/openAppendix?refNo=17PR152&appendix=0

The article is for general information purpose only and is not intended to constitute legal or other professional advice.

Receipt of this newsletter indicates that CompliancePlus has been using your email address to market to you the compliance services that CompliancePlus is able to provide you.

CompliancePlus provides compliance consulting services to financial companies, hedge fund managers and individuals. Our dedicated team of compliance officers has years of professional experience equipped with in-depth knowledge of both functional and compliance experience in managing and minimizing regulatory, operational and reputational risks. By partnering with CompliancePlus, our clients gain access to compliance solutions that they can trust and the latest knowledge of regulatory policies and procedures.

For enquiries, please email: info@complianceplus.hk or call at +852-3487 6903.
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Newsletter – November 2017

Content

  1. SFC bans Yeung Leung Yuen for three years
  2. Court of Appeal upholds SFC’s case of insider dealing and fraud against solicitors
  3. HSBC Private Bank (Suisse) SA fined HK$400 million for systemic failures in selling structured products
  4. SFC fines Danny Fung Kwong Shing and bans him for life

 

1. Court of Appeal upholds SFC’s case of insider dealing and fraud against solicitors

On 7 November 2017, the SFC has banned Mr Yeung Leung Yuen, a former relationship manager of Citibank (Hong Kong) Limited, from re-entering the industry for three years for conducting unauthorized transactions in a client’s securities account.

For more details, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/doc?refNo=17PR134

For a copy of the Statement of Disciplinary Action report, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/openAppendix?refNo=17PR134&appendix=0

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2. Court of Appeal upholds SFC’s case of insider dealing and fraud against solicitors

On 9 November 2017, the Court of Appeal upheld the decision of the Court of First Instance which had ruled in favour of an insider dealing and fraud case brought by the SFC against two solicitors – Ms Betty Young Bik Fung and Mr Eric Lee Kwok Wa – and Lee’s two sisters.

For more details, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/doc?refNo=17PR135; and

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/doc?refNo=16PR5

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3. HSBC Private Bank (Suisse) SA fined HK$400 million for systemic failures in selling structured products

On 21 November 2017, HSBC Private Bank (Suisse) SA, the Hong Kong branch of the Switzerland-based private banking business of HSBC Group, has been fined a record sum of HK$400 million after the Securities and Futures Appeals Tribunal (“SFAT”) upheld the SFC’s disciplinary action against the bank for material systemic failures in relation to the sale of derivative products – namely, Lehman Brothers-related Notes and Leveraged Forward Accumulators – in the run-up to the global financial crisis in 2008.

For more details, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/doc?refNo=17PR138

For the SFAT’s Reasons for Determination, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/enforcement-news/openAppendix?refNo=17PR134&appendix=0

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4. SFC fines Danny Fung Kwong Shing and bans him for life

On 23 November 2017, the SFC has banned Mr Danny Fung Kwong Shing, a former account executive of Fulbright Securities Limited (“Fullbright”), from re-entering the industry for life and fined him HK$542,071 for carrying out unauthorized trading activities in client’s accounts during his tenure at Fullbright.

For more details, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/doc?refNo=17PR140

For a copy of the Statement of Disciplinary Action, please refer to:

http://www.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/openAppendix?refNo=17PR140&appendix=0

The article is for general information purpose only and is not intended to constitute legal or other professional advice.

Receipt of this newsletter indicates that CompliancePlus has been using your email address to market to you the compliance services that CompliancePlus is able to provide you.

CompliancePlus provides compliance consulting services to financial companies, hedge fund managers and individuals. Our dedicated team of compliance officers has years of professional experience equipped with in-depth knowledge of both functional and compliance experience in managing and minimizing regulatory, operational and reputational risks. By partnering with CompliancePlus, our clients gain access to compliance solutions that they can trust and the latest knowledge of regulatory policies and procedures.

For enquiries, please email: info@complianceplus.hk or call at +852-3487 6903.
To subscribe, update your email address or unsubscribe, please email info@complianceplus.hk 

Regulatory News (Dec 2017)