The Securities and Futures Commission ("SFC") has banned Mr. Tong Ho Yin from returning to the industry for nine years and fined him $350,000 due to his failure to act in the best interests of a fund while at HFAM.
This article was generated using SAMS, an AI technology by Timothy Loh LLP.
SFO, s. 300: Fraudulent & Deceptive Conduct Provisions to Combat Insider Dealing and Other Misconduct
The Court of Appeal decision in Securities and Futures Commission v. Young Bik Fung confirmed that insider dealing as well as other market misconduct could be r
D&O Insurance in Hong Kong: What To Know In The Event Of SFC Enforcement Action
Enforcement action by the Securities and Futures Commission (“SFC”) against officers of companies listed on the Stock Exchange of Hong Kong is becoming increasi
SPOTLIGHT ON
FAMILY OFFICES
On July 16, 2025, the Securities and Futures Commission ("SFC") prohibited Mr. Tong Ho Yin, a former responsible officer ("RO") of HF Asset Management Limited ("HFAM"), from returning to the industry for nine years, effective from July 16, 2025, to July 15, 2034. Additionally, the SFC imposed a fine of $350,000 on Tong.
During his tenure as RO, HFAM failed to act in the best interests of a fund under its management and to properly manage conflicts of interest, as evidenced by repeated failures in loan and stock lending agreements for the fund between May 2017 and December 2018. These failures resulted in significant financial losses, totaling $25.6 million, which represented 86% of the fund's net asset value.
The SFC’s investigation attributed these failures to Tong's inadequate performance of his duties as an RO and senior management member. The SFC considered the severity and frequency of HFAM's misconduct, the importance of sending a strong deterrent message to the industry, Tong’s clean disciplinary record, and his financial situation in determining the sanctions.
View the full article:Source
