Hong Kong Regulator Bans Former KGI’s Representative for Life

Hong Kong's Securities and Futures Commission (SFC) announced that it has banned Mr Ho Pak Hay, a former licensed representative of KGI Asia Limited (KGI) and KGI Futures (Hong Kong) Limited (KGI Futures), from re-entering the industry for life.

According to the commission, Ho had misappropriated and misused funds totalling $1.8 million received from three KGI's clients between February 2018 and July 2019 after he privately agreed to make investments for them.

However, instead of making investments for them with the funds as agreed, Ho had spent a portion of the funds on gambling. The investigation also revealed that Ho had issued eight dishonoured cheques purportedly to repay the funds owed to one of the three clients around August 2018 to April 2019.

The SFC considers that Ho is not a fit and proper person to be licensed as Ho's conduct casts serious doubts on his integrity and reliability, and his ability to carry on regulated activities honestly.

In its latest enforcement, the SFC announced that the Court of First Instance (CFI) has granted orders sought by the regulator against fraudsters of a global Pyramid and Ponzi scheme to compensate victims following legal proceedings under section 213 of the Securities and Futures Ordinance (SFO).