Hong Kong’s Securities and Exchange Commission (SFC) has suspended Mr. Chow Tsz Lam, a former officer (RO) and the manager in various basic functions of now dissolved AGG. Asset Management Limited, for 12 months.
The suspension, which will last until September 1, 2026, comes from the failures of Chow’s capital management.
Disciplinary action followed SFC’s survey, which found that AGG, as an investment director of a fund incorporated in Cayman, invested up to 100% of the assets of the mutual capital issued by companies controlled by Mr Ng Ka Shun.
In this way, AGG has failed to avoid conflicts of interest and to properly manage the dangers of the fund. AGG also caused the mutual capital to invest in two bonds that seemed to have been constructed in order to swell the net value of the capital capital.
The SFC has taken disciplinary measures against NG, who made investment decisions for the Fund and was mainly responsible for these failures.
The SFC found that Chow failed to fulfill its duties as RO and a member of the AGG higher administration to ensure that the business law in the interest of the Fund and its investors and to comply with the applicable regulatory requirements.
During the decision of disciplinary ratification, the SFC took into account various factors, including the cooperation of Chow with the regulator and the other clean disciplinary record.