AML breach rise in Hong Kong confirms need for KYC compliance

June 5, 2016

Hong Kong’s securities regulator has reported a huge surge in the number of occasions when financial institutions in the city have failed to comply with anti-money laundering (AML) guidelines. In its annual report for 2015-2016, the Securities and Futures Commission (SFC) confirmed that the number of rule breaches in the year ending 31 March had risen by an astonishing 91 percent from 117 to 223 incidents. Financial penalties imposed during the year were also up by 58 percent to US$11.2 million, and this included a penalty of almost US$4 million imposed on JP Morgan in December for a series of control failures. The results of the SFC report are a reminder to companies of the need to implement a rigorous know-your-customer (KYC) process.

Previous Article
Webinar: Training your key stakeholders on fair competition (Antitrust) concepts
Webinar: Training your key stakeholders on fair competition (Antitrust) concepts

Businesses  are required to be proactive in managing their competition and antitrust risks, from identifyin...

Next Flipbook
Special report: Work with a dedicated compliance partner to better serve your clients
Special report: Work with a dedicated compliance partner to better serve your clients

Many companies see the value in working with compliance-specific consulting firms such as The Red Flag Grou...

Expand your team to overcome your compliance challenges

Tell me how