The Securities and Exchange Commission (SFC) banned Mr Tong Ho Yin, former HF Asset Management Limited (HFAM), from returning to industry for nine years from July 16, 2025 to July 15, 2034.
Hong Kong’s regulator also imposes a fine of $ 350,000.
SFC’s survey revealed that during Tong’s term as RO, HFAM failed to act in the interest of a fund under its administration and to properly manage interest conflicts during the interview of loan and stock loan agreements in three different cases between May 2017.
HFAM’s offense was evident in its repeated failures about these arrangements, which were eventually deflected. These failures culminated in significant financial losses of $ 25.6 million for the fund of 86% of its net value.
The SFC considers that all HFAM’s repeated failures are due to Tong’s failure to fulfill its duties as RO and a member of the HFAM higher administration.
During the ratification decision, the SFC took into account various factors, including the severity and repeated nature of HFAM and Tong and the importance of sending a strong message of deterrent to the industry that SFC will not tolerate the submission of behavior to the management practices.
The regulator also considered Tong’s other clean disciplinary record and its financial situation.