SFC Suspends Hui Lam Chiu for Six Months
- A former employee of Guoyuan Securities Brokerage Limited in Hong Kong faces suspension for not following guidelines.
The Securities and Futures Commission (SFC) in Hong Kong has declared a suspension of Mr. Hui Lam Chiu.
Hui was a responsible officer of Guoyuan Securities Brokerage Limited, which operates as a subsidiary of Guoyuan Securities CO., from May 19 2017 to November 18 2017. The reason behind this disciplinary action stems from the SFC having sanctioned the Hong Kong-based firm for its breach of the anti-Money Laundering Money Laundering Money laundering is a blanket term to describe the process by which criminals disguise the original ownership and proceeds of criminal conduct by making such proceeds appear to be derived from a legitimate source.Money laundering is an issue that traverses countless industries and sectors, which includes the financial services space. Though criminal money may be successfully laundered without the assistance of the financial sector, billions of dollars’ worth of criminally derived money are laund Money laundering is a blanket term to describe the process by which criminals disguise the original ownership and proceeds of criminal conduct by making such proceeds appear to be derived from a legitimate source.Money laundering is an issue that traverses countless industries and sectors, which includes the financial services space. Though criminal money may be successfully laundered without the assistance of the financial sector, billions of dollars’ worth of criminally derived money are laund Read this Term guidelines, as it failed to properly conduct enquiries and scrutiny to mitigate the risks involved with money laundering and terrorist financing while processing third party fund withdrawals and deposits between September 2010 and July 2012.
London Summit 2017 is coming, get involved!
[gptAdvertisement]
Hui was the responsible officer and senior management officer in charge of handling and approving third party transfers at Guoyuan during the aforementioned timeframe. Further, he was one of the employees responsible for ensuring that these transfers were in Compliance Compliance In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a Read this Term with anti-money laundering guidelines.
The SFC’s investigation revealed that the breaches were in part attributed to Hui and his failure to ensure that all reasonable measures were taken to mitigate the aforementioned risks.
Hui was found guilty of not having the company conduct proper enquiries, and following up on some third-party fund transfers despite several red flags suggesting that these were unusual and suspicious. Moreover, Hui’s procedures for dealing with these transfers were not effectively employed to ensure the mitigation of the risk of money laundering.
When the SFC had decided on this disciplinary sanction, the organization took into account all relevant circumstances, which include Hui’s otherwise clean disciplinary record and his cooperation in resolving its concerns regarding the company’s conduct.
Finance Magnates recently covered the SFC's warning against local advisory company Ocean Star Capitals, which has offered its services without having a license. Though these are two different cases, both serve as examples of the SFC's unwavering stance towards companies not following the organization's guidelines.
The Securities and Futures Commission (SFC) in Hong Kong has declared a suspension of Mr. Hui Lam Chiu.
Hui was a responsible officer of Guoyuan Securities Brokerage Limited, which operates as a subsidiary of Guoyuan Securities CO., from May 19 2017 to November 18 2017. The reason behind this disciplinary action stems from the SFC having sanctioned the Hong Kong-based firm for its breach of the anti-Money Laundering Money Laundering Money laundering is a blanket term to describe the process by which criminals disguise the original ownership and proceeds of criminal conduct by making such proceeds appear to be derived from a legitimate source.Money laundering is an issue that traverses countless industries and sectors, which includes the financial services space. Though criminal money may be successfully laundered without the assistance of the financial sector, billions of dollars’ worth of criminally derived money are laund Money laundering is a blanket term to describe the process by which criminals disguise the original ownership and proceeds of criminal conduct by making such proceeds appear to be derived from a legitimate source.Money laundering is an issue that traverses countless industries and sectors, which includes the financial services space. Though criminal money may be successfully laundered without the assistance of the financial sector, billions of dollars’ worth of criminally derived money are laund Read this Term guidelines, as it failed to properly conduct enquiries and scrutiny to mitigate the risks involved with money laundering and terrorist financing while processing third party fund withdrawals and deposits between September 2010 and July 2012.
London Summit 2017 is coming, get involved!
[gptAdvertisement]
Hui was the responsible officer and senior management officer in charge of handling and approving third party transfers at Guoyuan during the aforementioned timeframe. Further, he was one of the employees responsible for ensuring that these transfers were in Compliance Compliance In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a Read this Term with anti-money laundering guidelines.
The SFC’s investigation revealed that the breaches were in part attributed to Hui and his failure to ensure that all reasonable measures were taken to mitigate the aforementioned risks.
Hui was found guilty of not having the company conduct proper enquiries, and following up on some third-party fund transfers despite several red flags suggesting that these were unusual and suspicious. Moreover, Hui’s procedures for dealing with these transfers were not effectively employed to ensure the mitigation of the risk of money laundering.
When the SFC had decided on this disciplinary sanction, the organization took into account all relevant circumstances, which include Hui’s otherwise clean disciplinary record and his cooperation in resolving its concerns regarding the company’s conduct.
Finance Magnates recently covered the SFC's warning against local advisory company Ocean Star Capitals, which has offered its services without having a license. Though these are two different cases, both serve as examples of the SFC's unwavering stance towards companies not following the organization's guidelines.