HONG KONG (Reuters) – Hong Kong’s markets watchdog said on Monday it had fined a securities arm of one of China’s largest banks, Bank of Communications , HK$19.6 million ($2.53 million) for a range of regulatory breaches.
BOCOM International Securities Limited broke anti-money laundering rules by not identifying deposits made by third parties, the Securities and Futures Commission (SFC) said.
The SFC said it found “extensive deficiencies” in the broker’s margin lending and margin call policy between December 2012 and November 2016.
BOCOM also breached other rules including those concerning authorisation of transactions and client complaints, the SFC said.
“BOCOM International Securities … has taken and will take a series of optimisation measures to address the deficiency pointed out by Hong Kong’s SFC, aiming to improve management and control mechanism and ensure compliance,” a spokeswoman for parent BoCom International said in an emailed statement.
(Reporting by Alun John; editing by Jason Neely)
