Share This: Top stories Liability of company secretaries and non-board management (A) HKEX censures the former Company Secretary (CS) of Venus Medtech (Hangzhou) Inc, and further directs him to attend training. (Announcement; Statement of Disciplinary Action) This case concerns the company’s provision of unauthorised financial assistance (total RMB2.48b) to 2 executive directors between Jan 2020 […]
Share This: Top stories HKEX: tips on risk management & control system HKEX published its Practical tips to effective risk management & internal control system, providing useful guidance. There are 3 sections: (1) (P.3) key questions to ask when making decisions (e.g. general corporate transactions), (2) (P.6) general internal controls and governance practices under various […]
Share This: Top stories Notable SFC enforcement cases (A) Significant compensation and disqualification orders against directors in some recent cases: 1. Superb Summit International case Nature: acquisition of fictitious forestry assets from party connected with a shadow director (holds 22.6% of company) 3 Defendants: shadow director, executive director, CFO and company secretary Compensation order: total […]
Share This: Top stories HKEX published (A) a report on its review of issuers’ annual, corporate governance (CG) and ESG reports for 2024 year-end, (B) (updated) consolidated guide for the preparation of annual reports (HKEX AR Guide), (C) launched HKEX Annual report explorer, providing access to annual report disclosures with an AI-empowered search engine. (Press […]
Share This: Top stories AFRC on 2025 year-end audits AFRC published its Audit Focus for 2025 year-end audits, highlighting the need to navigate the dynamic risk environment of 2025. The challenging economic conditions, coupled with new and increasingly complex business model, present significant challenges for both companies and their auditors. (Report) Our focus is the […]
Share This: Top stories The Privacy Commissioner for Personal Data (PCPD) published 2 investigation reports on data breaches by companies in retail industry: (A) Kwong’s Art Jewellery Trading Company Limited and My Jewelry Management Limited and (B) Adastria Asia Co; Limited. (Press release) (A) Kwong’s Art and (its subsidiary) My Jewellery incident The companies submitted […]
Share This: Top stories HKEX’s latest Listing Regulation and Enforcement Newsletter HKEX addresses various themes, including convertible bond offerings with concurrent share buyback; issuers undertaking securities trading and financial investment activities; non-compliance in material transactions. (HKEX Newsletter) (Note: other themes include: promoting capital efficiency through treasury shares; new company re-domiciliation regime; USM; new corporate governance […]
Share This: Top stories HKEX Guide for revised CG Code HKEX published an updated Corporate Governance Guide for Board and Directors (the “Guide”), FAQs 1.1 and 17.1 to support issuer boards’ application of the revised Corporate Governance Code (effective from the financial year commencing on or after 1 Jul 2025). (Background on revised Code: our Dec […]
Share This: Top stories SFC’s major enforcement efforts SFC’s publication (Enforcement Reporter) highlighted its major enforcement efforts to combat corporate misconduct. Firstly, it introduced a new Market scanning detection model to identify governance red flags for early intervention. The goal is to prevent rather than to discipline. AI-empowered analytics are employed to assess financial disclosures, […]
Share This: Top stories USM: latest developments SFC launched a consultation on proposed limits for 3 types of fees that an approved securities registrar (ASR) may charge investors under the upcoming USM (Uncertificated Securities Market) regime. (Press release, Consultation) Some subsidiary legislation for implementing USM were also gazetted (Press release). (On fees level consultation) SFC […]
