The Hong Kong Monetary Authority (HKMA) announced today (Friday)
that investigation of over 99% of a total of 21,790
Lehman-Brothers-related complaint cases received has been
completed. These include:
- 14,383 cases which have been resolved by a settlement agreement
reached under section 201 of the Securities and Futures Ordinance
(Note 1);
- 2,583 cases which have been resolved through the enhanced
complaint handling procedures required by the settlement
agreement;
- 2,714 cases which were closed because insufficient prima facie
evidence of misconduct was found after assessment or no sufficient
grounds and evidence were found after investigation;
- 1,529 cases (including minibond cases) which are under
disciplinary consideration after detailed investigation by the
HKMA, of which proposed disciplinary notices are being prepared in
respect of 747 such cases and proposed disciplinary notices or
decision notices have been issued in respect of the other 782 cases
(Note 2); and
- 466 cases in respect of which investigation work has been
completed and are going through the decision process to decide
whether there are sufficient grounds for disciplinary actions or
whether the cases should be closed because of insufficient evidence
or lack of disciplinary grounds.
Investigation work is underway for the remaining 113 cases.
(A table summarising the progress of the
disciplinary and complaint-resolution work in respect of
Lehman-Brothers-related complaints is attached.)
Table
For general enquiries, please contact:
Dedicated hotline, at 8100 2314
Hong Kong Monetary Authority
20 May 2011
Notes:
- These are cases where eligible customers accepted the
settlement offers made by the distributing banks in respect of
Lehman Brothers-related investment products in accordance with the
agreements reached under section 201 of the Securities and Futures
Ordinance. The HKMA has informed the distributing banks that, since
these agreements contain detailed arrangements for settlement of
claims and the implementation of robust systems for selling
unlisted structured investment products and dealing with related
customer complaints in future, it is not the intention of the HKMA
to take any enforcement action in relation to the Lehman
Brothers-related cases that involve eligible customers who accept
the settlement offers made by the distributing banks pursuant to
these agreements.
- These are cases in respect of which (a) proposed
disciplinary notices have been issued and representations were
pending, (b) representations have been received and are being
reviewed, or (c) disciplinary decision notices have been issued and
the persons concerned have been given 21 days to consider whether
to appeal to the Securities and Futures Appeals Tribunal.