Our Ref.: B1/15C
5 March 2009
The Chief Executive
All Registered Institutions
Dear Sir / Madam,
I understand that a number of registered institutions (RIs) have entered into, or are currently in the process of negotiating settlements with, some of their customers in relation to complaints including those involving the sale of Lehman Brothers related investment products. The HKMA supports this approach and encourages RIs to resolve any customer disputes as quickly as possible subject to proper procedures.
In this connection, I would like to point out that RIs should be mindful about their obligations to deal with all complaints honestly and fairly. Specifically, when your institution handles customers' complaints and discusses settlement arrangements with customers, it should ensure that:
Yours faithfully,
Nelson Man
Executive Director
(Banking Supervision)