Progress of the HKMA's investigation in Lehman-Brothers-related cases

Press Releases

29 May 2009

Progress of the HKMA's investigation in Lehman-Brothers-related cases

The Hong Kong Monetary Authority (HKMA) announced today (Friday) that there are currently 427 Lehman-Brothers-related cases under disciplinary consideration. These are cases which have gone through detailed investigation by the HKMA.

"A number of cases are at a very advanced stage of the enforcement process. Before making a final determination in these cases, we have to go through due process to ensure fairness, including giving the subjects of investigation an opportunity to be heard," said by an HKMA spokesperson.

Since 17 October 2008 the HKMA has referred a total of 457 Lehman-Brothers-related cases (unchanged from last week), involving 16 banks, to the SFC for further action. These cases have been reviewed by the HKMA, which has determined that there are sufficient grounds for referring them to the SFC to facilitate its investigations into banks.

The HKMA has, up to 27 May 2009, received 21,045 complaints concerning Lehman-Brothers-related products, of which 20,871 complaints have gone through the preliminary assessment process. As a result of the assessment, the HKMA is currently investigating 5,861 cases and seeking further information on 13,491 cases. A total of 1,095 complaints have been closed as there was no sufficient prima facie evidence found after the preliminary assessment process or no sufficient grounds and evidence found after the detailed investigation (A table summarising the complaints received so far is attached). "The closure of these cases will not affect the top-down investigations being undertaken by the SFC at the bank level," the HKMA spokesman said.

With a view to further enhancing understanding of the progress of the HKMA's investigation in Lehman-Brothers-related cases, the HKMA has prepared a flowchart to outline its enforcement process. This flowchart can be found at


For further enquiries, please contact:
Thomas Chan, Communications Chief, at 2878 1480 or
Hing-fung Wong, Manager (Communications), at 2878 1802

Hong Kong Monetary Authority
29 May 2009

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Last revision date : 29 May 2009