Disciplinary Actions

The three principal objectives of enforcement actions for money laundering / terrorist financing (ML/TF) are:

• Deterring abuse of the banking and stored value facility (SVF) systems for such activities;
• Driving changes; and
• Reinforcing the importance of banks and SVF licensees in having AML/CFT systems that are commensurate with the risks presented.

The more serious the findings, the greater the need to use enforcement tools that have a stronger deterrent effect on both the authorized institution (AI) / SVF licensee concerned and the industry. Available enforcement tools for the HKMA include disciplinary measures on AIs and SVF licensees such as remedial orders, pecuniary penalty and public reprimand.