[Hong Kong] SFC suspends Sandra Cheung Wing Yi for 12
months
SFC Enforcement news, 29 Oct 2020
The
Securities and Futures Commission (SFC) has suspended the licence of Ms Sandra
Cheung Wing Yi, former licensed representative of Mason Securities Limited
(MSL), for 12 months from 28 October 2020 to 27 October 2021. SFC found that
between November 2014 and July 2017, Cheung failed to obtain approval to
maintain a securities trading account with an external brokerage firm and
conducted 66 personal trades in the aforesaid account, in breach of MSL’s
internal control policies.
Full
text: click here
[Hong
Kong] SFC consults on climate-related risks in funds
SFC
Consultation, 29 Oct 2020
The
SFC launched a consultation on proposed requirements for fund managers to take
climate-related risks into consideration in their investment and risk
management processes and make appropriate disclosures to meet investors’
growing demands for climate risk information and combat greenwashing. Under the
proposals, the Fund Manager Code of Conduct would be amended and the SFC will
set out expected baseline requirements and standards to facilitate fund
managers’ compliance.
Full
text: click here; Consultation Paper:
click here
[Singapore] Two
individuals charged for offences under the Securities and Futures Act and Penal
Code
MAS
Enforcement News, 29 Oct 2020
Mr
Tan Kheng Yeow and Mr Tan Chun Yong were charged for offences under the
Securities and Futures Act (SFA) and Penal Code (PC). The offences relate to
the trading in the shares of KTL Global Limited (KTL), a company listed on the
Mainboard of the Singapore Exchange, committed between 16 October 2014 and 8
September 2015. During the material period, Mr Tan Kheng Yeow was the CEO and
Executive Director of KTL while Mr Tan Chun Yong was a trading representative
of OCBC Securities Pte Ltd. They are accused of being involved in a conspiracy
for false trading in the shares of KTL, by using multiple trading accounts to
carry out trades for the purpose of creating a false or misleading appearance
of active trading in the security.
Full text: click here
[Singapore] MAS bans two
individuals for fraud and dishonest conduct
MAS Enforcement News, 30
Oct 2020
The Monetary Authority of Singapore (MAS) has issued prohibition orders (POs) against two former bank employees, Mr Lu Chor Sheng and Mr Tan Swee Thiam Timothy, for fraud and dishonest conduct. Between January 2011 and June 2013, Mr Lu used the OCBC accounts of a friend to place unauthorised forward foreign exchange trades with off-market rates in OCBC’s system, so that he could buy lower and sell higher than the prevailing market rates. Between March 2015 and January 2016 Mr Tan made unauthorised internet bank transfers amounting to around $263,500 from his friend’s UOB account to his personal bank account in order to pay for his living expenses. Mr Lu and Mr Tan are prohibited for a period of 17 years and 9 years respectively from performing any regulated activity under the Securities and Futures Act (SFA) and from providing any financial advisory service under the Financial Advisers Act (FAA).
Full text: click here
[Hong Kong] Insurance
Authority establishes Disciplinary Panel Pool as a key part of its disciplinary
mechanism for the insurance industry
IA News, 30 Oct 2020
The Insurance Authority (IA) announced the
formation of the Disciplinary Panel Pool as part of its new disciplinary
mechanism for licensed insurance intermediaries and authorized insurers. The IA
is empowered under the Insurance Ordinance (Cap. 41) to take disciplinary
actions against authorized insurers and licensed insurance intermediaries.
Full text: click here
[Hong Kong] Insurance
Authority publishes the inaugural issue of Conduct In Focus
IA News, 30 Oct 2020
The Insurance Authority published the
inaugural issue of “Conduct In Focus”, a periodical newsletter which
presents statistics and commentary on complaints received by the IA and
examines topical regulatory issues relating to conduct in the insurance market.
This issue provides a broad overview of the IA’s approach to enforcement, and
examines how the general principles of good conduct on which the new regulatory
regime is based must be embedded into the culture and governance of companies
operating in the insurance market to ensure ethical business practices.
Full text: click here
[Hong Kong] SFC publicly
censures Ngai Lai Ha and imposes a cold-shoulder order for breach of the
Takeovers Code
SFC Enforcement News, 2 Nov
2020
The Securities and Futures Commission (SFC)
has publicly censured and imposed an 18-month cold-shoulder order against Ms
Ngai Lai Ha for breaching the mandatory general offer obligation of the
Takeovers Code. Ngai was the chairperson and executive director of
International Housewares Retail Company Limited when the breaches took place.
On 6 March 2019, Ngai purchased 170,000 of the company’s shares at $2.01 per
share. As a result, the shareholding of Ngai and her concert parties (Concert
Group) in the company reached 50.50%, representing an increase of more than 2%
from the Concert Group’s lowest collective percentage interest of 48.48% in the
preceding 12 months. She has breached the Takeovers Code and deprived the
company’s shareholders of the right to receive a general offer for their
shares.
Full text: click here
[Hong Kong] All licensed
corporations, licensed representatives and registered institutions within the
meaning of the Securities and Futures Ordinance (Cap. 571) or relevant
individuals within the meaning of section 20(10) of the Banking Ordinance (Cap.
155)
SFC Circulars, 2 Nov 2020
The SFC reminds all licensed corporations,
licensed representatives, registered institutions or relevant individuals that
the “cold-shoulder order in respect of Ngai Lai Ha” requires them must not,
without the prior consent of the Executive in writing, act or continue to act
directly or indirectly in their capacity as licensed corporations, licensed
representatives, registered institutions or relevant individuals for Ms Ngai or
any corporation controlled by her other than International Housewares Retail
Company Limited and its subsidiaries; or knowingly assist directly or
indirectly in a breach of this cold-shoulder order during the period commencing
on 2 November 2020 and ending on 1 May 2022.
Full text: click here
[Hong Kong] Hong Kong
FinTech Week 2020 and Regtech Adoption in HK Banking Sector
HKMA News, 2 Nov 2020
The Hong Kong Monetary Authority (HKMA) co-organised
with InvestHK Hong Kong FinTech Week 2020, the city’s flagship fintech event,
and announced a range of initiatives to further foster the fintech ecosystem
and support corporates, particularly small and medium-sized enterprises. The
HKMA has developed a two-year roadmap to further promote Regtech adoption in
the Hong Kong banking sector. The roadmap, as laid out in a White Paper
entitled “Transforming Risk Management and Compliance: Harnessing the Power
of Regtech”, includes a series of promotional activities to be rolled out
over the next two years, aiming at fostering a more diverse and interactive
Regtech ecosystem in Hong Kong. Further details about the roadmap will be
announced in a separate press release.
Full text: click here; The roadmap: click here
[Singapore] Explanatory
Brief for Payment Services (Amendment) Bill
MAS News, 2 Nov 2020
MAS is introducing legislative amendments to
the Payment Services Act 2019 to implement the enhanced international standards
adopted by the Financial Action Task Force (“FATF”) in June 2019 that are aimed
at addressing the ML/TF risks posed by virtual asset service providers that are
not already regulated as financial institutions. MAS also intends to amend the
PS Act to mitigate the ML/TF risks arising from certain cross-border business
models that have surfaced. Aside from amendments related to anti-money laundering
and countering terrorist financing, MAS proposes to introduce powers to impose
measures on digital payment token service providers and make other
miscellaneous amendments to the PS Act.
Full text: click here
[Singapore] Reply to
Parliamentary Question on Singapore's Response to Financial Action Task Force's
Report on Money Laundering and Illegal Wildlife Trade
MAS News, 2 Nov 2020
The Senior Minister replied to the
Parliamentary Question on the Government's response to the Financial Action
Task Force's (FATF) report on Money Laundering and the Illegal Wildlife Trade.
Singapore’s approach is consistent with the recommendations in the FATF report.
Several agencies, including the Commercial Affairs Department, National Parks
Board and the Monetary Authority of Singapore work together to combat money
laundering linked to illegal wildlife trade by enacting laws and regulations
that target illegal wildlife trade and associated money laundering.
Full text: click here
[Singapore] Speech by
Deputy Prime Minister, Coordinating Minister for Economic Policies and Minister
for Finance, Mr Heng Swee Keat, at the SIRC 2020 Re-Mind on 2 November 2020
MAS News, 2 Nov 2020
Mr Heng Swee Keat, Deputy Prime Minister,
Coordinating Minister for Economic Policies and Minister for Finance announced
the launch of the Global-Asia Insurance Partnership, a tripartite partnership
between the global insurance industry, regulators and academia, to produce actionable
research insights, develop policy recommendations, and co-create innovative
solutions for the region.
Full text: click here
[China] Jack Ma summoned
by China financial regulators ahead of Ant IPO
Business Times, 2 Nov
2020
Four Chinese regulators including the
central bank and banking watchdog invited billionaire Jack Ma and Ant Group's
top executives to a supervisory interview on Monday, a rare meeting with
multiple financial regulators that underscores rising government scrutiny of
the company before its stock-market debut.
Full text: click here
[Hong Kong] Virtual asset firms to face
regulation
The Standard, 3 Nov 2020
Hong Kong intends to set up a licensing regime to regulate virtual asset
service providers, says Secretary for Financial Services and the Treasury
Christopher Hui Ching-yu. He added that the government will conduct public
consultations on the system.
Full text: click here