Collaborative Enforcement Measures by the Insurance Authority and Hong Kong Monetary Authority

The Insurance Authority and the HKMA have collaboratively taken disciplinary measures against a former technical representative (agent) of an authorised institution. 

The investigation carried out by the HKMA revealed that in June 2018, an individual received a direct debit authorisation (DDA) form from a client residing overseas for the purpose of premium payments on an insurance policy. However, it was discovered that one of the signature pages provided by the client was missing. 

In an attempt to deceive both the insurance provider and the individual's previous employer bank, engaged in the act of forging a new DDA form. This involved cutting out the client's original signature from the provided form and affixing it onto a blank DDA form. Subsequently, the individual produced photocopies of the forged signature pages and submitted the fabricated DDA form to the insurer in July 2018, all without the knowledge or consent of the client involved.

After reviewing the results of the HKMA's investigation and considering the subject's explanation that he failed to establish the direct debit within the correct timeframe stated in the original DDA form, the IA concluded that the subject's behaviour displayed a significant absence of honesty and made him unsuitable to fulfill his role as a technical representative (agent). 

In light of these circumstances, the IA deemed it necessary to take disciplinary measures. This demonstrates a successful enforcement partnership between the HKMA and the IA, aimed at deterring inappropriate conduct and delivering a unified message to the financial services sector.

Attention all individuals and organisations subject to regulation! It is crucial to uphold a strong sense of honesty and professionalism while fulfilling your responsibilities, as this is essential for preserving client trust.

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