Financial Crime

Supervision & Enforcement

Financial Regulators’ Expenditures Rise as Market Surveillance Deepens

By Editors | 27/05/2014

Financial services regulators in major markets including Hong Kong have increased their expenditure over the last seven years by nearly 60% amid growing pressure on regulatory agencies to deepen scrutiny of the financial services industry following the 2008 crisis.

Market Abuse

Australian Regulator Issues Report on Confidential Information, Warns of Complacency

By Editors | 27/05/2014

Australia’s disclosure regime ensures retail investors can trust the integrity of the market, the Australian Securities and Investments Commission (ASIC) said, although it warned companies not to become complacent.

Market Abuse

Hong Kong Exchanges Vows to Fight Class Action Lawsuit on Zinc

By Editors | 27/05/2014

Hong Kong Exchanges and Clearing said it will “vigorously” contest a class action alleging it engaged in anti-competitive behaviour that distorted the price of zinc.

Structural Regulation

Hong Kong Court Orders EY to Submit Accounting Records to SFC

By Editors | 26/05/2014

A Hong Kong court has ordered accounting firm Ernst & Young (EY) to produce accounting records relating to its work for Standard Water Ltd, rejecting the firm’s argument that the mainland’s state secrets law prevents it from handing over information to the city’s securities regulator.

Emerging Prudential Risks

S.Korea’s Financial Authorities Need Enhanced Independence, Says IMF

By Editors | 22/05/2014

South Korea needs to strengthen the independence of its financial authorities to ensure the safety and soundness of its financial sector, said the International Monetary Fund.

Anti-Money Laundering

Money Laundering Impacts Socio-Economic Development, Says Bank Negara

By Editors | 19/05/2014

Bank Negara expressed concern that criminal activities in the money services business could adversely impact socio-economic development, after Malaysia recorded an illicit outflow worth RM174 billion based on a Global Financial Integrity (GFI) report last year.

Market Abuse

Hong Kong Regulator Reprimands Citigroup on Algorithm Error

By Editors | 15/05/2014

The Securities and Futures Commission (SFC) has reprimanded Citigroup Global Markets Asia Limited (Citigroup) for failing to ensure its algorithmic trading systems functioned property for certain securities orders between April 2009 and May 2010.

Market Risk

Taiwan’s Regulator Plans Supervisory Mechanism Restricting TRF Sales Volume

By Editors | 15/05/2014

Taiwan’s Financial Supervisory Commission chairman William Tseng said the country’s companies have a total of US$4.97 billion in exposure to renminbi-linked target redemption forward (TRF) financial derivative products with unrealized losses valued at US$2 billion.

Cybersecurity

Bank Indonesia, OJK to Coordinate on Boosting Banking System

By Editors | 12/05/2014

The Financial Services Authority (OJK) says it will coordinate closely with Bank Indonesia (BI) to improve the banking system in the country.