Corporate Crime update – Spring 2020

Welcome to the Spring 2020 edition of our corporate crime update - our round up of developments in relation to corruption, money laundering, fraud, sanctions and related matters. Read more

Malaysia: Section 17A of the MACC Act: TRUST-ed Adequate Procedures for your corporation

As discussed in our previous bulletin, Malaysia is anticipating the new corporate liability provision, i.e. Section 17A of the Malaysian Anti-Corruption Commission Act 2009 (“MACC Act”) to take effect on 1 June 2020. The new corporate offence under Section 17A of the MACC Act is applicable to the broadly defined “commercial organisation”, which not only includes Malaysia incorporated companies but also commercial organisations incorporated outside Malaysia that carry on business or any part of a business in Malaysia. Hence, companies with headquarters and offices  overseas may potentially be caught by Section 17A should there be any part of its business operating in Malaysia. Read more

COVID-19 Governance: SFC extends deadline for data storage compliance (Hong Kong)

The Hong Kong Securities and Futures Commission (SFC) has extended its deadline for licensed corporations to confirm compliance with its new data storage regulations, due to the COVID-19 outbreak. On 31 March 2020, the SFC granted a six-month extension to the implementation deadline for aspects of its 31 October 2019 circular on the use of external electronic data storage providers (EDSPs) by licensed corporations for the storage of regulatory records (EDSP Circular). Read more

HKMA publishes supervisory expectations and sound practices relating to algo trading following thematic examinations

On 6 March 2020, the HKMA issued a circular setting out its expectations on risk management for algorithmic (algo) trading, as well as sound practices observed from thematic on-site examinations of seven authorised institutions (AIs) in 2019. The on-site examinations of the seven AIs, mainly international banks using algorithms for making investment decisions, were conducted following a survey by the HKMA which found (among other things) that around 40% of the AIs surveyed were engaging in algo trading and that a majority of such AIs were intending to expand the scale of their algo trading.   Read more