Hong Kong SFC Issues Circular on Enhanced Account-Opening Controls Following Review of 12 Brokers

GateNews
According to the Securities and Futures Commission (SFC), the regulator issued a circular today (May 22) outlining monitoring measures for account opening and customer relationship maintenance. The circular follows the SFC's review of account-opening practices at 12 securities brokerages, which identified significant deficiencies including insufficient due diligence on account documents, acceptance of suspicious or forged documents, and weaknesses in managing cross-border relationships with overseas intermediaries. The SFC has directed all licensed corporations to conduct internal checks to detect any suspicious or forged documents that may have been used to open accounts.
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