China plans to reshuffle foreign investment regulation

After a long wait, on 19 January 2015, China’s Ministry of Commerce (MOFCOM) released the draft Foreign Investment Law for public comment.  The draft Foreign Investment Law represents a significant step forward in China’s continuing reform and opening-up.  When it comes into effect, the Foreign Investment Law will replace the current three main laws on foreign-investment enterprises (i.e., the Law on Wholly Foreign Owned Enterprises, the Law on Equity Joint Ventures, and the Law on Cooperative Joint Ventures), and introduce various other changes.  Continue reading

Leave a Comment

Filed under Asia, China, Funds, Investment banking

Proposed amendments to the Proceeds of Crime Act 2002 would offer protection from civil liability to those reporting suspicions of money laundering

The House of Commons is currently considering the Serious Crime Bill 2014 (the “Bill”), which proposes amendments to various pieces of existing criminal legislation, including the Proceeds of Crime Act 2002 (“POCA”).

On 8 January 2015, Karen Bradley MP (Minister for Modern Slavery and Organised Crime) announced that she had tabled new amendments to the Bill, including a new clause to be included in POCA relating to the submission of suspicious activity reports (“SARs”) and protecting those who submit a SAR in good faith from incurring civil liability. Although the Bill has yet to be enacted (and there is therefore no guarantee that POCA will be amended in the way proposed), this is a welcome development for banks and other regulated institutions, providing additional clarity and protection as they seek to navigate the POCA reporting obligations. Continue reading

Leave a Comment

Filed under Corporate Crime, UK

US Second Circuit confirms use of discovery in support of foreign investigations

The US Court of Appeals for the Second Circuit has interpreted 28 U.S.C. § 1782 as granting a US district court discretion to order the production of documents in support of a foreign criminal investigation. Continue reading

Leave a Comment

Filed under Americas, Asset management, Banking, Funds, Investment Funds, US

US Commerce and Treasury Departments amend Cuban Sanctions Regulations

On 15 January 2015, the Bureau of Industry and Security (BIS) within the US Department of Commerce issued amendments to the Export Administration Regulations to implement the policy changes announced by President Obama on 17 December 2014 concerning US-Cuba relations.  Similarly, the Office of Foreign Assets Control (OFAC) within the US Department of the Treasury issued amendments to the Cuban Assets Control Regulations to implement the changes announced by the President.  Continue reading

Leave a Comment

Filed under Americas, US

SFC seeks new power to provide assistance to overseas regulators on supervisory matters

On 19 December 2014, the Securities and Futures Commission (the “SFC”) launched a consultation on proposed amendments to the Securities and Futures Ordinance (the “SFO”), relating to supervisory assistance to overseas regulators.  Continue reading

Leave a Comment

Filed under EU, Europe, Hong Kong

HKMA announces findings of its investigation into FX trading operations of HK banks

On 19 December 2014, the Hong Kong Monetary Authority (HKMA) announced the outcome of its investigation into the foreign exchange (FX) trading operations in Hong Kong.   Continue reading

Leave a Comment

Filed under Asia, Banking, Hong Kong, Investment Funds

Sponsors – FCA issues first fine of sponsor

You may have seen that, for the first time, the Financial Conduct Authority (FCA) has fined a sponsor for breach of the Listing Rules.  Below is a brief note on the fine.  The decision does highlight the fact that sponsors have to notify the FCA (as the UKLA) – as well as FCA Supervision teams.  Continue reading

Leave a Comment

Filed under Uncategorized

New DFSA Sourcebook Module, ‘Code of Market Conduct’ comes into force

A new Code of Market Conduct, which has identical standing to formal Guidance contained within the Dubai Financial Services Authority (“DFSA”) Rulebook, came into force on 1 January 2015. Continue reading

Leave a Comment

Filed under Uncategorized

Property tycoon and former Chief Secretary jailed in Hong Kong’s highest-level corruption trial

Thomas Kwok, chairman of Sun Hung Kai Properties, Rafael Hui Si-yan, former Government number two, and two businessmen have been found guilty and sentenced to jail terms in Hong Kong’s HK$34 million (US$4.3 million) graft “trial of the century”.  Continue reading

Leave a Comment

Filed under Asia, Bribery and Corruption, Corporate Crime, Hong Kong

MiFID II: ESMA Technical Advice and Consultation

The European Securities and Markets Authority (ESMA) published the following MiFID II Level 2 materials on Friday, 19 December:

The revised Markets in Financial Instruments Directive (MiFID II Directive) and Regulation (MiFIR) (together “MiFID II”) will apply across the European Union and member states of the European Economic Area from 3 January 2017.  For an overview of the new MiFID II regime, please click here for our earlier briefing.

This briefing highlights some of the key recommendations made by ESMA in its technical advice and helps to navigate the topics covered in the Consultation Paper.  Comments on the consultation must be submitted by 2 March 2015.

Useful documents:

  • A full list of the consultation questions is set out in the reply form for the consultation.
  • A list of the draft regulatory technical standards (RTS) and implementing technical standards (ITS) can be found here.
  • A timeline of key MiFID II dates can be found here.

To read our full briefing please click here.

Leave a Comment

Filed under EU, Europe, European Regulation, Uncategorized