Monetary Authority takes disciplinary action against Fubon Bank (Hong Kong) Limited for contravention of Anti-Money Laundering and Counter-Terrorist Financing Ordinance
The following is issued on behalf of the Hong Kong Monetary Authority:
The Hong Kong Monetary Authority (HKMA) announced today (November 8) that it had completed an investigation and related disciplinary proceedings in relation to Fubon Bank (Hong Kong) Limited (FBHK) under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Chapter 615 of the Laws of Hong Kong) (AMLO). The Monetary Authority (MA) has imposed a pecuniary penalty of HK$4,000,000 against FBHK for contravention of the AMLO.
The disciplinary action (Note) follows FBHK’s self-report of transaction monitoring failures and the HKMA’s investigation into FBHK’s systems and controls for compliance with the AMLO. The HKMA found that, between April 2019 and July 2022, FBHK failed to establish and maintain effective procedures for continuously monitoring business relationships with customers. Specifically, FBHK failed to have in place effective procedures for managing system changes, following up on a substantial decrease in transaction alerts, and regularly reviewing the scope of transactions covered by its transaction monitoring system. FBHK also failed to conduct appropriate scrutiny of transactions carried out for customers, and update customer due diligence reviews upon trigger events.
In deciding the disciplinary action, the MA has taken into account all relevant circumstances andfactors, including:
the seriousness of the investigation findings;
the need to send a clear deterrent message to FBHK and the industry about the importance of having effective procedures to address money laundering and terrorist financing risks;
FBHK reported its transaction monitoring failures to the HKMA.It was co-operative during the investigation and enforcement proceedings;
FBHK has carried out remediation to address the identified transaction monitoring failures and the associated control deficiencies; and
FBHK has no previous disciplinary record.
The Executive Director (Enforcement and AML) of the HKMA, Mr Raymond Chan, said, "The AMLO requires banks to put in place effective procedures for continuous monitoring of their business relationships with customers so that potential money laundering and terrorist financing activities are detected early. When changes are introduced to existing monitoring systems, bank management should ensure that the scope of surveillance covers all relevant transactions and any identified deficiencies are followed up promptly."
Note: The disciplinary action is taken under section 21 of the AMLO. The AMLO imposes customer due diligence and record-keeping requirements on specified financial institutions, including Authorized Institutions, and designated non-financial businesses and professions. The MA is the relevant authority with respect to Authorized Institutions under the AMLO.
AMS open day promotes National Security Education Day
To promote the National Security Education Day, the Auxiliary Medical Service (AMS) held an open day at its headquarters in Ho Man Tin today (April 19). The event aimed to enable members of the public to learn about the work of the AMS in safeguarding national security, to enhance public awareness of national security, and to further deepen their understanding of the daily operations and services provided by the AMS.
Addressing the opening ceremony, the Secretary for Financial Services and the Treasury, Mr Christopher Hui, said that safeguarding national security is the common responsibility of all. National security is not confined to single area; it is closely linked to finance, public health, and everyday community life. Among the 20 major fields of national security, biosecurity is closely related to the work of the AMS. The AMS provides various services to the public, including non-emergency ambulance transfer services, first aid coverage during large-scale public events, as well as duty at country parks and cycling tracks. The AMS spares no effort in safeguarding the safety and health of the general public. He would like to express his heartfelt gratitude to the members of the AMS for their unwavering dedication and commitment to protecting the public.
The Commissioner of the AMS, Dr Ronald Lam, said that this year marks the beginning of the country's 15th Five-Year Plan, and the theme of this year's National Security Education Day is "Proactively Align with the 15th Five-Year PlanFollow a Holistic Approach to Development and Security". The AMS has been strengthening members' and cadet corps' understanding of national security through various channels. In the past year, the AMS organised the "Together, We Set a New Record" event, setting a Guinness World Record for "Most pairs of people applying arm slings simultaneously", to promote the importance of first aid knowledge to the public. He expressed gratitude to all sectors for their support to the AMS, and added that the AMS will spare no effort in safeguarding national security and contribute to building a healthy and safe Hong Kong.
The open day featured a variety of engaging activities, including national security-themed game booths, first aid demonstrations, band foot drills, medical and health seminars, health screenings, as well as displays of ambulances and first aid bicycles. Through these activities, members of the public could gain a deeper understanding of the daily work of the AMS, access more health information, learn about developments in the healthcare sector, and at the same time enhance their awareness of national security.
AMS open day promotes National Security Education Day Source: HKSAR Government Press Releases
AMS open day promotes National Security Education Day Source: HKSAR Government Press Releases
AMS open day promotes National Security Education Day Source: HKSAR Government Press Releases
AMS open day promotes National Security Education Day Source: HKSAR Government Press Releases
AMS open day promotes National Security Education Day Source: HKSAR Government Press Releases
AMS open day promotes National Security Education Day Source: HKSAR Government Press Releases
