HK regulator issues restriction notice to Shenwan Hongyuan regarding accounts linked to suspected market manipulation
The notice prohibits the broker from dealing with certain assets held in four trading accounts, which are related to suspected market manipulation in the shares of a company listed on the Stock Exchange of Hong Kong Limited.
Hong Kong’s Securities and Futures Commission (SFC) today announces that it has issued a restriction notice to Shenwan Hongyuan Securities (H.K.) Limited.
The notice prohibits the brokerage from dealing with or processing certain assets held in four trading accounts, which are related to suspected market manipulation in the shares of a company listed on the Stock Exchange of Hong Kong Limited.
Shenwan Hongyuan is not allowed, without the SFC’s prior written consent, to dispose of or deal with, or assist, counsel or procure another person to dispose of or deal with, certain securities (Securities) in the four trading accounts including:
- entering into transactions in respect of the Securities;
- processing any withdrawals or transfers of the Securities and/or cash or any transfers of money arising from the disposal of the Securities; and
- disposing of or dealing with the Securities on the instructions of any authorized person of the accounts or any person acting on their behalf.
Shenwan Hongyuan is also required to notify the SFC if they receive any of these instructions.
The regulator considers that the issue of the restriction notice is desirable in the interest of the investing public and in the public interest.