The Securities and Futures Commission (SFC) has suspended the license of Hau Bing Leung, former account executive of Chee Tak Securities Limited (CTSL), for 15 months from December 2023 to March 2025. The suspension follows earlier sanctions against CTSL and its responsible officer for internal control deficiencies and regulatory breaches.
The SFC’s investigation revealed that Hau allowed a third party to operate a client’s securities account without written authorization, exposing the client to potential loss and CTSL to liability in case of disputes. Hau also prevented CTSL from properly monitoring the client’s account and his personal trading activities.
The SFC considered various factors when determining the disciplinary sanctions against Wong:
- CTSL did not have any relevant policy or procedure to require written third party authorisations for the operation of client accounts; and
- Hau has no previous disciplinary record with the SFC