On September 29, 2025, the Securities and Futures Commission ("SFC") fined Roofer Securities Limited $2.1 million for mishandling client money over a period from February 2021 to July 2022.
This article was generated using SAMS, an AI technology by Timothy Loh LLP.
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On September 29, 2025, the Securities and Futures Commission ("SFC") imposed a $2.1 million penalty on Roofer Securities Limited (Roofer) for regulatory violations related to the mishandling of client funds. Between February 8, 2021, and July 7, 2022, the SFC's investigation revealed 12 incidents where Roofer failed to maintain adequate funds in its segregated client account. In one such incident, Roofer encountered a shortfall of $15.5 million.
The breaches were attributed to Roofer’s use of client funds to meet margin calls from The Hong Kong Exchanges and Clearing Limited ("HKEX"), the company's inability to manage its daily online bank transfer limit, and errors among its staff. These failures were found to contravene the Client Money Rules and Code of Conduct.
Despite these breaches, no clients incurred any losses. Roofer has since implemented corrective measures, bolstering its internal controls and rectifying the segregation of client funds. Furthermore, Roofer cooperated fully with the SFC and has no prior disciplinary record.
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