On 7 October 2014, the Hong Kong Market Misconduct Tribunal (MMT)  made “cold shoulder orders” and “cease and desist orders” against New York-based asset management company, Tiger Asia Management LLC (Tiger Asia) and Bill Hwang Sung Kook (Mr Hwang), pursuant to s.257(1)(b) and (c) of the Securities and Futures Ordinance (SFO).  The effect of the orders is that both Tiger Asia and Mr Hwang have been banned from the date of the order from dealing in any securities in Hong Kong for 4 years (5 years being the maximum period that the MMT may order) and are bound not to engage in any form of market misconduct in the future.

The MMT’s report considers, inter alia, the nature and purpose of “wall crossing” which the MMT considers to be an important tool in ensuring the efficient operation of financial markets and one built on trust.

For more on the case from our team in Hong Kong, click here.