Market Misconduct

SFC’s Circular to licensed corporations – Operation of Bank Accounts

SFC’s Circular to licensed corporations – Operation of Bank Accounts 1401 788 Charing
The Securities and Futures Commission (“SFC”) issued a circular to licensed corporations (“LC”) on 28 June 2021 warning against unsatisfactory practices in the operation of bank accounts of LCs (the “Circular”). 

The Securities and Futures Commission warns unregulated virtual asset platforms

The Securities and Futures Commission warns unregulated virtual asset platforms 1400 788 Hugo
The Securities and Futures Commission warns unregulated virtual asset platforms

Court of Appeal grants SFC compensation orders against former directors of EganaGoldpfeil

Court of Appeal grants SFC compensation orders against former directors of EganaGoldpfeil 1400 788 Hugo
Court of Appeal grants the Securities and Futures Commission $622 million compensation orders against former directors of EganaGoldpfeil (Holdings) Ltd.

The Court of First Instance orders boiler room fraudsters to compensate investors

The Court of First Instance orders boiler room fraudsters to compensate investors 1400 788 Hugo
Boiler room fraudsters ordered to compensate investors after finding that none of the investments in securities / futures products agreed were ever executed.

The Securities and Futures Commission (the “SFC”) reprimanded and fined Ewarton Securities Limited

The Securities and Futures Commission (the “SFC”) reprimanded and fined Ewarton Securities Limited 1400 788 Hugo
The Securities and Futures Commission reprimanded and fined Ewarton Securities Limited for internal control failings and breaches of the SFC’s Code of Conduct.

Market Misconduct Tribunal sanctions Magic Holdings International Limited and its five directors

Market Misconduct Tribunal sanctions Magic Holdings International Limited and its five directors 1400 788 Hugo
On 11 March 2021, the Market Misconduct Tribunal fined Magic Holdings International Limited and five of its directors a total of $4 million after they were found to be culpable of late disclosure of inside information on L’Oréal S.A.’s proposed acquisition of Magic in 2013.

Insider Dealing: Defences

Insider Dealing: Defences 1400 788 Hauzen
Under sections 271 and 292 of the SFO, a person or corporation may avail himself of a defence if he falls within one of the categories set out in this article.

What Constitutes Insider Dealing?

What Constitutes Insider Dealing? 1400 788 Hauzen
Insider dealing is defined under the SFO to arise under the three circumstances and under each circumstance, inside information may originate from two kinds of sources: someone connected with a corporation or someone involved with a proposed take-over offer for a corporation.

Structure & Definitions of the Insider Dealing Provisions in SFO

Structure & Definitions of the Insider Dealing Provisions in SFO 1400 788 Hauzen
As with the provisions governing other forms of market misconduct, insider dealing is categorised into the civil regime and the criminal regime.

Insider Dealing

Insider Dealing 1400 788 Hauzen
Illicit trades are considered in detail, documenting the history of the situation in Hong Kong and the current regime. Relevant legislation is considered, along with possible sanctions and penalties.
  • 1
  • 2
Back to top
Privacy Preferences

When you visit our website, it may store information through your browser from specific services, usually in the form of cookies. Here you can change your Privacy preferences. It is worth noting that blocking some types of cookies may impact your experience on our website and the services we are able to offer.

Click to enable/disable Google Analytics tracking code.
Click to enable/disable Google Fonts.
Click to enable/disable Google Maps.
Click to enable/disable video embeds.
Our website uses cookies, mainly from 3rd party services. Define your Privacy Preferences and/or agree to our use of cookies.