The Hong Kong Monetary Authority (HKMA) has referred On Friday to the Securities and Futures Commission (SFC) five cases involving complaints of alleged misconduct in respect of investment products related to Lehman Brothers for it to decide whether to take further action. The five cases, which are the twelve batch of Lehman-Brothers-related cases referred in this way, involve alleged misconduct by two licensed banks in Hong Kong.
Since 17 October 2008, the HKMA has referred a total of 243 Lehman-Brothers-related cases to the SFC for further action involving 14 banks. These cases have been reviewed by the HKMA, which has determined that there are sufficient grounds for referring them to the SFC.
The HKMA has, up to 8 January 2009, received 19,893 complaints concerning Lehman-Brothers-related products, of which 19,079 complaints have gone through the preliminary assessment process. Apart from the 243 cases referred to the SFC so far, the HKMA had formally opened investigations on 4,456 complaints and is currently seeking further information on 14,251 complaints. One hundred and twenty-nine complaints have been found to lack sufficient prima facie evidence to support further action.
D.C.