Licence Applicant Convicted Of Providing False Or Misleading Information To Hong Kong's Securities And Futures Commission

The Eastern Magistrates’ Court today convicted Mr Zheng Kai of making false or misleading representations in his licence application to the Securities and Futures Commission (SFC) (Note 1).

Zheng was fined $5,000 after pleading guilty. The court also ordered him to pay the SFC’s investigation costs.

The SFC found that, on 2 September 2014, Zheng made a false or misleading representation in support of his licencing application in that he stated he had resigned from his previous employment. In fact, his previous employer summarily dismissed him because he submitted a false sick leave certificate (Note 2).

The SFC expects applicants to make full and accurate disclosure of all information required to be submitted with a licence application. Failure of applicants to do so might affect their fitness and properness to be licensed.

Notes:

1. Zheng applied for a licence to carry out Type 2 (dealing in futures contracts) regulated activity.
2. Under section 383 of the Securities and Futures Ordinance, a person commits an offence if he, in support of any application made to the SFC, makes a representation that is false or misleading in a material particular and he knows that, or is reckless as to whether, the representation is false or misleading in a material particular.