[Hong Kong] SFC
obtains disqualification orders against former senior executives of Far East
Holdings International Limited
SFC Enforcement News,
9 Feb 2021
The SFC has
obtained a disqualification order in the Court of First Instance against Mr
Duncan Chiu, former managing director and chief executive officer of Far East
Holdings International Limited, and Mr Michael Lui Hung Kwong, a former company
secretary and financial controller of Far East. The Court ordered that Duncan
Chiu and Lui be disqualified from being a director, or being directly or
indirectly involved in the management of Far East or any corporation in Hong
Kong for four years and three years respectively. The orders were made after
they transferred a total of $61 million to the personal bank accounts of the
then chairman Mr Deacon Chiu Te Ken, the late father of Duncan Chiu. The Court
found that Far East’s business or affairs had been conducted in a manner
involving other misconduct under section 214 of the SFO, resulting in Far
East’s shareholders not having been given all the information as they might
reasonably expect.
Full text: click here
[Hong Kong] SFC
issues restriction notices to two brokers to freeze client accounts linked to
suspected social media ramp-and-dump scam
SFC Enforcement
News, 9 Feb 2021
The SFC has issued
restriction notices to Enlighten Securities Limited and Futu Securities
International (Hong Kong) Limited, prohibiting them from dealing with or
processing certain assets held in three trading accounts, which are related to
a suspected social media ramp-and-dump scam involving the manipulation of the
market in the shares of two companies listed on the Stock Exchange of Hong Kong
Limited between March 2020 and October 2020.
Full text: click here
[Hong Kong] SFC and
Police warn investors about social media scams
SFC News, 10 Feb 2021
The SFC alerted the public about online
investment scams in a short video produced jointly with the Anti-Deception
Coordination Centre (ADCC) of the Hong Kong Police Force. In the video,
investors are warned to beware of fraudsters who set up investment groups on
social media platforms and claim to offer stock tips or inside information. In
some cases, well-known investment advisors and market commentators have been
impersonated as part of these scams. The video also features a dramatisation of
a typical “ramp and dump” scheme, which is a form of stock market manipulation.
Full text: click here
