Hong Kong SFC licensed corporations to be exempted from CFTC registration as FCMs when dealing with US customers in relation to futures trading

The US Commodity Futures Trading Commission (CFTC) has recently issued a Regulation 30.10 order to the Securities and Futures Commission (SFC) in Hong Kong, which will exempt SFC licensed futures or options traders (subject to satisfying certain conditions) from, amongst others, the US registration requirement. Under CFTC Regulation 30.4, persons who solicit or accept orders from US customers for the trading of futures or options outside of the US must be registered with the CFTC as a futures commission merchant (FCM), unless exempted.

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Filed under Americas, Asia

The Board’s responsibility to manage risk: key legal and compliance issues – a disputes perspective

At this recent conference, held by Herbert Smith Freehills and attended by close to a hundred clients, we explored some key legal and compliance risks facing major corporates and how those risks can be mitigated.

After opening remarks by dispute resolution partner and conference chair David Reston, presentations took place on corporate governance, financial crime, cyber security and risk transfer through insurance, as well as a panel session on business and human rights, class actions and investment protection. The morning concluded with Andrew Procter looking at the practicalities and challenges of designing and operating a risk control programme, from his perspective as a former regulator and compliance head at a global financial institution.

Read more of this post from our litigation team.

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Filed under Banking, Bribery and Corruption, Commercial Litigation, Corporate Crime, Insurance, Investment banking, UK, UK Regulations

Hong Kong regulator loses battle on the fight against unauthorized advertisement, but the war continues

On 20 March 2015, the Hong Kong Court of Final Appeal (CFA) allowed the appeal by Pacific Sun Advisors Limited and its Chief Executive Officer, Mantel, Andrew Pieter, which effectively confirmed their earlier acquittal by the Magistrate of offences relating to the issuing of advertisements to promote a collective investment scheme (CIS) without the authorization of the Securities and Futures Commission (SFC) contrary to section 103 of the Securities and Futures Ordinance (SFO). Continue reading

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Filed under Asia, Funds, Hong Kong

Cybersecurity – managing a crisis in the digital era – Part 3

Information security and system resilience are strategic issues for every business, with media reports of security breaches in businesses, government agencies and other organisations now a daily occurrence.   Continue reading

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Filed under Asia, Australia, Corporate Crime, Hong Kong

Australian Federal Court delivers a blow to agreed outcomes in civil penalty proceedings

The recent decision of the Full Court of the Federal Court of Australia in Director, Fair Work Building Industry Inspectorate v Construction, Forestry, Mining and Energy Union [2015] FCAFC 59 has significant implications for regulators and respondents seeking to agree on a penalty in civil penalty proceedings.  Applying the 2014 decision of the High Court in Barbaro, which related to submissions as to penalty in criminal sentencing hearings, the Full Court found that it could not receive, or act on, submissions from parties on an agreed penalty or the range within which a penalty should fall in the case of civil penalty proceedings.   Continue reading

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Filed under Australia

Brexit – a possible UK exit from the EU

In the UK, the General Election is a few days away and with it is the prospect of a Referendum on the UK’s membership of the European Union (EU) by the end of 2017, if the Conservatives form the next Government.

In our briefing, we consider the implications from a legal perspective of a UK exit from the EU.    Continue reading

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Filed under EU, UK

Cybersecurity – managing a crisis in the digital era – Part 2

Information security and system resilience are strategic issues for every business, with media reports of security breaches in businesses, government agencies and other organisations now a daily occurrence.  This is the second in our three part e-bulletin series on the latest developments in relation to cybersecurity.  The first note discussed best practices in relation to cybersecurity policy. It highlighted the importance of having established policies in place to ensure that organisations, and their data, are protected.

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Filed under Asia, Australia, China, Corporate Crime, Hong Kong

UK: Proposed FCA Technical Notes on closed-ended investment companies

You would be forgiven if the Financial Conduct Authority (“FCA”)’s rather plainly titled ‘Primary Market Bulletin No. 11‘ passed you by in the lead up to our, now distant, Easter break.  If that is so, and you have even a passing interest in listed funds, then this briefing is for you.  It summarises the Bulletin’s proposals for six new technical notes that relate directly to closed-ended investment companies listed on the Main Market of the London Stock Exchange plc under chapter 15 .  The Bulletin also proposes an amendment to an existing procedural note on block listings.   Continue reading

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Filed under FCA, Funds, UK, UK Regulations

The EU publishes amended guidance on financial sanctions

The Council of the European Union recently published a revised version of the EU Best Practices for the effective implementation of restrictive measures.  The guidance it contains provides some clarification of the many issues which arise in practice for both Member States and for persons and entities subject to sanctions or otherwise affected by their application.   Significant uncertainties in the interpretation of EU sanctions do, however, remain.  Continue reading

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Filed under EU, France, Germany, Liechtenstein, Sanctions and Money Laundering, Spain, UK

Cybersecurity – managing a crisis in the digital era

Information security and system resilience are strategic issues for every business, with media reports of security breaches in businesses, government agencies and other organisations now a daily occurrence. Continue reading

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Filed under Asia, Australia, Corporate Crime, Hong Kong