All in one News Portal

Hong Kong banks to reveal associated property of purchasers who breach safety legislation

HONG KONG, Oct 24 (Reuters) – Banks in Hong Kong are suggested to reveal associated property of purchasers who’re present in breach of town’s nationwide safety legislation, in line with the newest tips from its banking affiliation.

The recommendation was launched in an Oct. 22 replace of the Hong Kong Association of Banks’ (HKAB) steadily requested questions in relation to anti-money laundering and counter-financing terrorism, which was revealed on the web site of the Hong Kong Monetary Authority (HKMA).

Banks ought to disclose property held by any shopper who’s arrested or charged for an offence endangering nationwide safety or once they have data or suspicion {that a} property is “offence related property” after receiving info from legislation enforcement businesses, per the clause.

HKMA and the HKAB didn’t instantly reply to a Reuters request for remark.

China imposed nationwide safety laws in Hong Kong on June 30 final yr, making something Beijing regards as subversion, secession, terrorism or colluding with overseas forces punishable by as much as life in jail.

Three months later, the banking affiliation added 5 clauses to the FAQs concerning anti-money laundering and counter-financing terrorism, advising banks of their reporting necessities below the legislation, how they need to deal with legislation enforcement requests and tips concerning group-wide info sharing.

Transactions suspected to be linked to the legislation ought to be handled the identical as transactions suspected to be cash laundering or financing terrorism, in line with the clauses on the time.

The FAQs usually are not official tips however apply to each Hong Kong and worldwide banks.

Reporting by Kane Wu; Editing by Kim Coghill

A general view of Two International Finance Centre (IFC), HSBC headquarters and Bank of China in Hong Kong, China July 13, 2021. REUTERS/Tyrone Siu