Andy Wong Yeung, former responsible officer (RO), manager-in-charge (MIC) of key business line and overall management oversight and director of City International Futures (Hong Kong) Limited (CIFHKL), has been suspended by the Securities and Futures Commission (SFC) for 10 months from 9 January 2024 to 8 November 2024.
The suspension follows the SFC’s sanctions against CIFHKL for failing to comply with anti-money laundering and counter-terrorist financing (AML/CFT) and other regulatory requirements between March 2016 and October 2018. The SFC has deemed Wong’s failures at CIFHKL as a result of his inability to fulfill his duties as an RO and senior management member.
The SFC’s investigation revealed that CIFHKL failed to manage money laundering and terrorist financing risks associated with client supplied systems (CSSs) in placing orders. They also failed to investigate client deposits inconsistent with their financial profiles and establish effective monitoring systems for suspicious trading patterns.
The SFC considered various factors when determining the disciplinary sanctions against Wong:
- the failures of him and CIFHKL to diligently monitor clients’ activities and put in place adequate and effective AML/CFT systems and controls are serious because their failings could undermine public confidence in, and damage the integrity of, the market;
- a strong deterrent message needs to be sent to the market that such failures are not acceptable;
- and he has an otherwise clean disciplinary record.