Hong Kong Monetary Authority Suspends Registration of LI Shek Tang for Nine Months
Tony Kim Sep 07, 2024 03:49
The Hong Kong Monetary Authority has suspended the registration of LI Shek Tang for nine months due to misconduct involving the fabrication of a client's signature.
The Hong Kong Monetary Authority (HKMA) has announced the suspension of Mr. LI Shek Tang's registration for nine months, following an investigation into misconduct. The disciplinary action was taken under section 58A(1) of the Banking Ordinance (Chapter 155 of the Laws of Hong Kong) and will be effective from September 4, 2024, to June 3, 2025, according to the HKMA.
Details of the Misconduct
The investigation revealed that in March 2023, LI photocopied a customer's signature on a time deposit application form to deceive his employing bank into believing it was originally signed by the customer. Although this act was not performed during a regulated activity under the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong), it raised serious concerns about LI's integrity and honesty in carrying out regulated activities.
The HKMA has determined that LI is not a fit and proper person to be a relevant individual, referencing section 129(1)(c) and (d) of the Securities and Futures Ordinance and the Fit and Proper Guidelines issued by the Securities and Futures Commission.
Official Statement
Mr. Raymond Chan, Executive Director (Enforcement and AML) of the HKMA, commented on the case, stating, “Fabrication of a client’s signature is a dishonest act. It reflects adversely on the person’s fitness and properness to carry on regulated activities. The HKMA observes that there has been a rise in the number of enforcement cases involving fabrication of client signatures recently. We are working with the Hong Kong Association of Banks to remind banks of the need for building a strong compliance culture within their sales teams through regular training.”
Previous and Current Affiliations
At the time of the incident, LI was engaged by Hang Seng Bank, Limited for Types 1, 4, and 7 regulated activities under the Securities and Futures Ordinance. Currently, LI is accredited to another authorized institution.
The HKMA's decision underscores the importance of maintaining high ethical standards within the financial sector to ensure the integrity and trustworthiness of financial professionals.
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