HSBC Fined HK$24 Million For MPF Scheme Violations Involving Unregistered Intermediaries
HSBC has been fined HK$24 million for offering incentives to "unregistered intermediaries" to attract clients to its Mandatory
By: : Daniel
Update: 2024-07-08 17:45 GMT
HSBC Fined HK$24 Million For MPF Scheme Violations Involving Unregistered Intermediaries
HSBC has been fined HK$24 million ($3.07 million) for offering incentives to "unregistered intermediaries" to attract clients to its Mandatory Provident Fund (MPF) scheme in 2020 and 2021, according to Hong Kong's pension regulator.
The Mandatory Provident Fund Schemes Authority (MPFA) announced that it has disqualified Yip Sze Ki, the former head of pensions at HSBC, from holding senior executive positions at any MPF operator for the next 18 months. This action was based on the MPFA's findings that HSBC failed to comply with conduct requirements under the Mandatory Provident Fund Schemes Ordinance.
"The MPFA concluded that HSBC did not comply with the conduct requirements under the Mandatory Provident Fund Schemes Ordinance," stated the MPFA in an announcement on its website last Friday. The MPFA emphasized that HSBC allowing unregistered intermediaries to operate "strikes at the heart of the regulatory regime."
The programme in question had successfully brought 2,400 members and assets worth HK$240 million to the MPF schemes managed by HSBC.