Secretary for Security Addresses Global Challenges of Money Laundering and Organized Crime at Hong Kong Forum

Speech by S for S at International Forum on Combating Money Laundering and Transnational Organized Crimes: Criminal Networks, Trade Dynamics and Beyond

Following is the speech by the Secretary for Security, Mr Tang Ping-keung, at the International Forum on Combating Money Laundering and Transnational Organized Crimes: Criminal Networks, Trade Dynamics and Beyond today (December 10):

Mr Osawa (Head of the Regional Intelligence Liaison Office for Asia and the Pacific of the World Customs Organization, Mr Toshihiko Osawa); Secretary for Justice, Mr Paul Lam, SC; Commissioner of Customs and Excise, Ms Louise Ho, distinguished guests, ladies and gentlemen,

Good afternoon, and welcome to Hong Kong. I am delighted to know that over 250 of you from various customs administrations, international organisations, and local and international law enforcement agencies, as well as different experts and stakeholders in the anti-money laundering community, are joining this Forum.

It is my pleasure to speak on one of the most pressing global challenges today, that is, transnational organised crimes and their perpetuation by the intricate networks of money laundering.

Global crime trend and the threat of transnational organised crime

According to the Global Crime Trend Summary Report in 2022, INTERPOL noted that organised crime ranks at the top of five broad crime areas, dominating the global crime threat landscape. These criminal groups demonstrate high flexibility in adapting and expanding their illicit operations for profit. They have evolved and expanded networks with branches that span multiple jurisdictions.

Drug trafficking remains a significant revenue source for organised crime groups. In the latest World Drug Report, the United Nations Office on Drugs and Crime warned that the cocaine production hit a record high of 2 700 tonnes, representing a 20 per cent increase over 2021. The report also highlighted that traffickers have found ways to integrate themselves into other illegal markets by working with other organised crime groups.

Other forms of transnational organised crimes include, for example, the infringement of intellectual property rights, tax evasion, and the smuggling of endangered species. It is estimated that the black market for illegal wildlife products generates around US$20 billion annually worldwide, while counterfeit goods trade amounts to approximately US$400 billion in 2019, equivalent to 2.5 per cent of world trade. These alarming figures underscore the vast scale of criminal activities we are up against.

The intricate network of transnational organised crime and money laundering

At the core of transnational organised crime lies the crime of money laundering. They are deeply interconnected, forming an intricate network where each element supports and sustains the other. Criminal enterprises employ sophisticated methods to disguise the origins of their illicit proceeds, allowing them to reinvest in further criminal activities. In the Global Financial Crime Report 2024, Nasdaq estimates that US$3 trillion in illicit funds flowed through the global financial system in 2023, with fraud scams and bank fraud schemes totalling US$480 billion in losses globally. This illustrates the massive threat that money laundering poses to global financial integrity.

Tackling transnational organised crime and money laundering

To tackle such threats, no country can isolate itself, and it demands a co-ordinated approach that transcends borders and sectors. Here, I would like to share three of my humble suggestions to counter the issue. First and foremost, we need concerted international co-operation. Co-operation generates synergistic effects, and it is only through unified efforts of international co-operation, intelligence exchange, and meaningful dialogues setting enforcement strategies that such impact can be amplified and bring about meaningful changes. That is why the Financial Action Task Force (FATF) and INTERPOL come into play. I strongly believe that when countries come together to combat crime, they enhance their resources and capabilities, forming a stronger, more formidable alliance on a global scale.

Through active participation in international bodies, such as the FATF, the Asia/Pacific Group on Money Laundering, the Egmont Group, and INTERPOL, jurisdictions could strengthen the global partnerships and enhance their abilities to exchange vital information with each other. Let us pick Hong Kong as an example. In 2023, the Joint Financial Intelligence Unit (JFIU) processed over 2 000 financial intelligence exchanges with 98 Egmont Group members and four non-Egmont Group members across continents. I am also glad to share that Hong Kong will host INTERPOL's 94th General Assembly in 2026, during which delegations to be led by police chiefs and senior executives from 196 law enforcement agencies will attend. This would be the first occasion for Hong Kong to host the event, further demonstrating our strong commitment to promote international co-operation and to strengthen law enforcement and security collaboration.

My second suggestion is the need for a robust legal framework. Global safeguards and international co-operation against money laundering are only as strong as its weakest link. Criminals will make every effort to circumvent weak anti-money laundering controls to successfully launder money or to move assets through the global financial system, especially with the development of technologies including virtual assets, which makes tracing and asset recovery more challenging than before. So it is a common duty that jurisdictions should establish a robust legal framework and stringent anti-money laundering regime that aligns with international standards.

Take Hong Kong as an example again. To comply with FATF recommendations, apart from a resilient and responsive regulatory framework for financial institutions, we have introduced a registration regime for dealers in precious metals and stones, as well as a licensing regime for virtual asset service providers, further closing off channels that could potentially be exploited by criminals to launder money outside the banking system.

My third suggestion is compliance by the private sector. A robust legal framework can only achieve its full potential when paired with active co-operation from the private sector. The financial sector and non-financial gatekeepers should continue to press hard to implement risk-based preventive measures to detect and prevent abuse of the financial system for money laundering. By spotting money laundering and raising red flags on the frontline, the private sector has proven to be an invaluable partner of law enforcement agencies. I am most delighted to note the participation of the private sector in this forum today.

In many jurisdictions, in addition to customer due diligence and record keeping requirements applicable to financial sectors and non-financial gatekeepers, the statutory obligation of filing suspicious transaction reports (STR) apply to all persons, and such a reporting requirement continues to provide important intelligence to law enforcement agencies. Hong Kong is no exception. For example, in the first 10 months in 2024, our JFIU already handled over 100 000 STR filed by different sectors, mostly from financial institutions, showing a significantly enhanced awareness of their legal duties in recent years when compared to less than 40 000 STR in 2014.

In this regard, I welcome the collaboration between Hong Kong Customs and the University of Hong Kong in forging a strategic partnership in areas such as innovative technology and anti-money laundering. The strategic partnership will build a solid foundation for providing capacity building programmes in emerging technologies for regional customs authorities to enhance enforcement effectiveness.

​Ladies and gentlemen, having shared with you my humble suggestions to counter money laundering activities and upcoming joint efforts required from our representatives here in combating transnational organised crimes, I hope that aside from work, our guests could spare some hours after each day's programme to discover the rich tapestry of our city's stories. Try to explore the bustling streets, experience the diverse cuisines, and immerse yourself in the vibrant culture that defines Hong Kong. In particular, our city is buzzing with panda joy following the recent birth of the first-ever giant panda twins in Hong Kong and with the arrival of a pair of new giant pandas gifted by the Central People's Government. If you will stay in Hong Kong over the coming weekend, I strongly recommend that you see the PANDA GO! FEST HK exhibition in Ngong Ping 360 near Tung Chung on December 14 and 15, 2024, which showcases a total of 2 500 cute sculptures of giant pandas. Lastly, may I wish you all a rewarding Forum and a very pleasant stay in Hong Kong. Thank you.

Speech by S for S at International Forum on Combating Money Laundering and Transnational Organized Crimes: Criminal Networks, Trade Dynamics and Beyond Source: HKSAR Government Press Releases

Speech by S for S at International Forum on Combating Money Laundering and Transnational Organized Crimes: Criminal Networks, Trade Dynamics and Beyond Source: HKSAR Government Press Releases

Speech by S for S at International Forum on Combating Money Laundering and Transnational Organized Crimes: Criminal Networks, Trade Dynamics and Beyond Source: HKSAR Government Press Releases

Speech by S for S at International Forum on Combating Money Laundering and Transnational Organized Crimes: Criminal Networks, Trade Dynamics and Beyond Source: HKSAR Government Press Releases

Speech by S for S at International Forum on Combating Money Laundering and Transnational Organized Crimes: Criminal Networks, Trade Dynamics and Beyond Source: HKSAR Government Press Releases

Special traffic arrangements for Chung Yeung Festival

To facilitate grave-sweeping activities during the Chung Yeung Festival period, the Police today (October 2) announced that special traffic arrangements will be implemented in phases in the following districts from tomorrow (October 3) to November 8 to ensure smooth vehicular traffic movements and pedestrian safety.

Chai Wan

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A. Temporary prohibited zone

The section of Cape Collinson Road east of Lin Shing Road i.e. the left-turning movement from Lin Shing Road to Cape Collinson Road leading to the Chinese Permanent Cemetery and its vicinity will be temporarily designated as private cars and light goods vehicles prohibited zone from 7am to 3pm daily from October 3 to November 8. All private cars and light goods vehicles, except those with permits issued by the Commissioner for Transport, will be prohibited from entering into the prohibited zone.

B. Road closures

Phase 1 - From 7am to 5pm daily on October 10, 11, 17, 19, 24, 25 and 31 and November 1 (Sundays, public holidays and specific weekends before and after Chung Yeung Festival), except for those vehicles specified below:

- Lin Shing Road southbound, except franchised buses, green minibus (GMB) routes 16A, 16M, 16X and 18M, taxis, hearses, funeral vehicles, vehicles with permits issued by the Commissioner for Transport and vehicles gaining access to Wan Tsui Estate and Lin Tsui Estate;

- Lin Shing Road northbound, except GMB route 18M, hearses, funeral vehicles and vehicles with permits issued by the Commissioner for Transport;

- The section of Cape Collinson Road east of Lin Shing Road (i.e. the left­turning movement from Lin Shing Road to Cape Collinson Road leading to the vicinity of the Chinese Permanent Cemetery), except GMB route 18M, taxis, hearses, funeral vehicles and vehicles with permits issued by the Commissioner for Transport;

- The section of Cape Collinson Road west of Lin Shing Road, except franchised buses, GMB routes 16A, 16M and 16X, taxis, hearses, funeral vehicles and vehicles with permits issued by the Commissioner for Transport;

- The slip road leading from Cape Collinson Road to Gardens of Remembrance and the Crematorium, except hearses and vehicles carrying passengers to service at the Crematorium; and

- The slip road leading to the Chai Wan Chinese Permanent Cemetery.

Phase 2 - From 7am to 5am on the day of Chung Yeung Festival (October 18), except for those vehicles specified below:

- Lin Shing Road, except franchised buses, GMB routes 16A, 16M and 16X, hearses, funeral vehicles, vehicles with permits issued by the Commissioner for Transport and vehicles making access to Wan Tsui Estate and Lin Tsui Estate;

- The section of Cape Collinson Road east of Lin Shing Road (i.e. the left­turning movement from Lin Shing Road to Cape Collinson Road leading to the vicinity of the Chinese Permanent Cemetery), except hearses, funeral vehicles and vehicles with permits issued by the Commissioner for Transport;

- The section of Cape Collinson Road west of Lin Shing Road, except franchised buses, GMB routes 16A, 16M and 16X, hearses, funeral vehicles and vehicles with permits issued by the Commissioner for Transport;

- The slip road leading from Cape Collinson Road to Garden of Remembrance and the Crematorium, except hearses and vehicle carrying passengers to service at the Crematorium;

- The slip road leading to the Chai Wan Chinese Permanent Cemetery; and

- Wan Tsui Lane (except vehicles making access to Hing Wah Plaza).

C. Traffic diversions

In connection with road closures and traffic control, traffic diversions will be implemented on following roads:

- Vehicles along the section of Wan Tsui Road eastbound between Fei Tsui Road and Lin Shing Road cannot turn right to Lin Shing Road southbound during the implementation of road closures under Phases 1 and 2; and

- The section of Cape Collinson Road between the slip road leading to Cape Collinson Crematorium and Shek O Road will be converted as one-way westbound during the implementation of road closures under Phases 1 and 2, and during the operation period of CTB route 388.

D. No parking

In connection with the road closures under Phases 1 and 2, no parking will be permitted on the following roads:

- Wan Tsui Road;

- Lin Shing Road;

- Cape Collinson Road; and

- The section of Shek O Road between Tai Tam Gap Correctional Institution and Tai Tam Road.

Tseung Kwan O

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A. General Closure

On October 11, 17, 19, 24 and 25, and November 1 and 8, the access road leading from Ko Chiu Road to the Tseung Kwan O Chinese Permanent Cemetery (the Cemetery) will be closed to all vehicular traffic from 5.30am to 6pm daily (except for emergency vehicles, KMB Special Route No. 14S, hearses, vehicles in funeral processions and vehicles with valid entry permits issued by the Cemetery).

B. Full Closure

On October 18, full closure will be implemented on the access road leading from Ko Chiu Road to the Cemetery between 5.30am and 8pm except for emergency vehicles.

Grave sweepers may make use of the BMCPC Footpath opposite to MTR Tiu Keng Leng Station or the access road on Ko Chiu Road to access the Cemetery. As there are staircases on the BMCPC Footpath, wheelchair users should make use of the access road on Ko Chiu Road.

Cheung Sha Wan

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The following special traffic and transport arrangements will be implemented in the vicinity of the Saint Raphael’s Catholic Cemetery from 7am to 7pm daily on October 10, 11, 17, 18, 19, 24 and 25:

A. Road Closure

Wing Ming Street and the unnamed road between Wing Ming Street and the Saint Raphael’s Catholic Cemetery will be temporarily closed to all vehicular traffic (except for hearses, vehicles taking part in funeral processions, vehicles access by the Cemetery staff, emergency vehicles and vehicles with permits issued by the Commissioner for Transport).

B. Temporary Traffic Arrangement

- Parking will be prohibited in the section of Yu Chau West Street between Castle Peak Road and King Lam Street;

- Passenger pick-up or set-down will be prohibited in the section of Yu Chau West Street near Wing Ming Street (outside 83 Wing Hong Street); and

- “No Stopping” and “No Parking” will be strictly enforced on Ching Cheung Road.

C. Suspension of On-street Parking Spaces

All on-street parking spaces (including metered parking spaces, disabled parking spaces and motorcycle parking spaces) in Yu Chau West Street, Tai Nan West Street, a section of King Lam Street between Yu Chau West Street and Tai Nan West Street and a section of Wing Hong Street between Yu Chau West Street and Tai Nan West Street will be temporarily suspended.

Tuen Mun

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(I) Castle Peak

The following special traffic and transport arrangements will be implemented in Tuen Mun from 7am to 7pm daily on October 3, 4, 10, 11, 17, 18, 19, 24, 25 and 31 and November 1 for Chung Yeung Festival:

A. Road Closures

The following sections of roads will be intermittently closed to all vehicular traffic (except emergency vehicles and those authorised by police officers on-site):

- Tsing San Path; and

- The access roads leading to Ching Chung Koon and Ching Chung Sin Yuen.

B. Removal of Illegally Parked Vehicles

Any vehicles found illegally parked at the following locations will be prosecuted and towed away by the Police without prior notice (except emergency vehicles and those authorised by police officers on-site):

- San Fuk Road;

- The section of Tsing Chung Koon Road between Tsing Chung Path and San Fuk Road;

- The section of Tsing Lun Road between Tsun Wen Road and the Northern vehicle entrance of Tuen Mun Hospital; and

- The section of Tsun Wen Road southbound between Tsing Lun Road and San Fuk Road.

C. Traffic Diversions

The following section of roads will be intermittently implemented with traffic diversions (except emergency vehicles and those authorised by police officers on-site):

- The section of Tsing Chung Koon Road between Tsing Lun Road and San Fuk Road will be converted to one-way northbound traffic; and

- The section of San Fuk Road between Leung Shun Street and Tsing Chung Koon Road will be converted to one-way westbound traffic.

D. Provision of Temporary Passenger Pick-up and Drop-off Points

Temporary loading and unloading points will be provided at Tsing Chung Koon Road northbound opposite to Castle Peak Hospital, Tsing Chung Koon Road northbound opposite to Tuen Mun Hospital and Tsing Lun Road westbound outside Tuen Mun Hospital.

(II) Tsang Tsui

A. Road Closure

The section of Nim Wan Road between Yung Long Road and Tsang Tsui Columbarium access road will be closed to all vehicular traffic from 7am to 7pm daily on October 3, 4, 10, 11, 17, 18, 19, 24, 25 and 31 and November 1, except for the access of the following vehicles:

- Franchised buses and MTR buses;

- Taxis;

- Vehicles gaining access to and from West New Territories Landfill and T·PARK; and

- Vehicles with permits issued by the Commissioner for Transport.

Lantau Island

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A. Special Traffic Arrangements

A section of closed road of Tung Chung Road between Shek Mun Kap Road and South Lantau Road will be temporarily opened for all vehicles to access from 6am to 6pm daily on October 10, 11, 17, 18 and 19.

All other roads or access roads in South Lantau remain closed 24 hours daily. All motor vehicles, except emergency vehicles and those with valid Lantau Closed Road Permits, are banned from entering the closed road.

B. Special Transport Arrangements

On October 18, apart from the bus routes serving Tung Chung Road, NLB Route No. 34S (Tung Chung Tat Tung Road Bus Terminus – Tung Chung Cemetery Area No. 18 (Circular)) will be operated from 8.45am to 1.15pm at a frequency of 30 to 45 minutes and NLB Route No. 7S (Mui Wo Ferry Pier – Lai Chi Yuen Cemetery) will be operated from 9am to 2.45pm at a frequency of 30 minutes.

Tsuen Wan

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A. Road Closure

The section of Lo Wai Road from Lo Wai Pai Lau to Yuen Yuen Institute will be designated as closed road to all vehicular traffic except franchised buses (scheduled service Route No. 32P), taxis, public light buses (scheduled service New Territories Route No. 81), emergency vehicles and vehicles with valid closed road permits from 8am to 6pm on October 11 and 18.

B. Suspension of Parking Spaces

During the above road closure, all metered parking spaces on Lo Wai Road near Yi Pei Chun Road, former Lo Wai Bus Terminus and Lo Wai Road outside Yuen Yuen Institute will be suspended from 8am to 6pm on October 11 and 18.

Wo Hop Shek

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A. Road Closure

From 6am to 5pm daily on October 3, 4, 10, 11, 17, 18, 19, 24, 25 and 31 and November 1, the following road sections will be temporarily closed to all vehicular traffic (except for emergency vehicles and those vehicles specified below):

- Kiu Tau Road (except for hearses, coaches conveying people attending services at the crematorium/cemetery, vehicles of the undertakers and franchised buses);

- Ming Yin Road (except for franchised buses); and

- All access roads within Wo Hop Shek Cemetery.

From 6am to 5pm daily on October 3, 4, 10, 11, 17, 18, 19, 24, 25 and 31, and November 1, 7 and 8, the following road section will be temporarily closed to all vehicular traffic (except for emergency vehicles):

- Wo Ka Lau Road.

B. Temporary Prohibited Zones

From 6am to 5pm daily on November 7 and 8, the following road sections will be temporarily designated as prohibited zones for private cars, buses, light buses, goods vehicles, motor cycles and motor tricycles (except for emergency vehicles and those vehicles specified below):

- Kiu Tau Road (except for hearses, coaches conveying people attending services at the crematorium/cemetery, vehicles of the undertakers and franchised buses);

- Ming Yin Road (except for franchised buses); and

- All access roads within Wo Hop Shek Cemetery.

All private cars, buses, light buses, goods vehicles, motor cycles and motor tricycles, except those vehicles specified above or those with permits issued by the Commissioner for Transport, will be prohibited from entering into the prohibited zones.

Members of the public may drive to Wo Hop Shek Cemetery after reopening of the roads/the end time of temporary prohibited zones until closure of the cemetery (i.e. 7.30pm) on the above-mentioned days.

C. Banning of Turning Movements

All vehicles will be temporarily prohibited from making the following turning movements on October 3, 4, 10, 11, 17, 18, 19, 24, 25 and 31 and November 1:

- Right turning movements from Pak Wo Road northbound near Fung Ying Seen Koon onto Pak Wo Road southbound; and

- Right turning movements from Pak Wo Road southbound near MTR Fanling Station into the car park on Pak Wo Road near Fung Ying Seen Koon.

D. Suspension of Car Parks and Parking Spaces

The following car parks and parking spaces will be suspended (except emergency vehicles and those vehicles specified below) from 7am to 5pm daily on October 3, 4, 10, 11, 17, 18, 19, 24, 25 and 31, and November 1, 7 and 8:

- Car park at Wo Hing Road near Wah Ming Road roundabout (urban and NT taxis may access to the car park to pick up and set down passengers);

- Car park at Pak Wo Road near Fung Ying Seen Koon (except for vehicles with valid disabled person’s parking permits or parking certificates for drivers who carry people with mobility disabilities issued by the Transport Department to use the disabled parking space and the public buses operating the Residents’ Service Route No. NR112 (Dawning View, Fanling - Fung Ying Seen Koon) to pick up and set down passengers);

- Parking spaces at Wah Ming Lane; and

- All parking spaces at Ming Yin Road between Wo Hop Shek Cemetery Office and Kiu Tau Road.

Depending on the actual situation, the Police may exercise discretion to allow vehicles carrying the elderly and passengers with disabilities to pick up and set down at the car park at Pak Wo Road near Fung Yin Seen Koon to facilitate interchange with the bus services to Wo Hop Shek Cemetery.

Sandy Ridge

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A. Opening of Frontier Closed Area from Lo Wu Station to Lo Wu Station Road

The Frontier Closed Area from Lo Wu Station to Lo Wu Station Road will be temporarily opened to the members of public for grave sweeping from 6am to 6pm daily between October 10 and November 8 (both dates inclusive).

B. Road Closure

(i) From 6am to 6pm daily on October 10, 11, 17, 18, 19, 24, 25 and 31, and November 1, 7 and 8, Lo Wu Station Road from its junction with Man Kam To Road to a point about 280 metres west of the same junction (near the management office of the Sandy Ridge Cemetery) will be temporarily closed to all vehicular traffic (except for emergency vehicles, vehicles of Lo Wu Village residents and vehicles that are allowed to park inside the carpark of MTR Lo Wu Station).

(ii) From 6am to 6pm daily on October 10, 11, 17, 18, 19, 24, 25 and 31, and November 1, 7 and 8, Sha Ling Road will be temporarily closed to all vehicular traffic (except for emergency vehicles and vehicles of Sha Ling residents).

Any vehicles found illegally parked within the precincts mentioned above will be towed away without prior warning, and may be subject to ticketing.

The Police will implement appropriate arrangements subject to the prevailing traffic and crowd conditions. Grave sweepers are advised to use public transport services as far as possible. Motorists should exercise patience and tolerance, and follow the instructions of police officers on site.

Source: AI-found images