The Securities and Futures Commission (SFC) has publicly reprimanded Instinet Pacific Limited and imposed an HK$8 million fine for failing to comply with regulatory requirements regarding the reporting of direct business transactions (cross trades) to The Stock Exchange of Hong Kong Limited (SEHK) between December 2012 and March 2018. Instinet’s misconduct involved the failure to report 8,817 pairs of cross trades worth approximately HK$25.9 billion, breaching multiple General Principles of the Code of Conduct. The SFC found that Instinet lacked adequate policies and procedures to monitor and report these transactions, which is particularly concerning given the duration and scale of the non-compliance.
Resources: https://apps.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/doc?refNo=25PR140
