HONG KONG, Oct 24 (Reuters) – Banking companies in Hong Kong are encouraged to disclose related house of purchasers who are identified in breach of the city’s nationwide safety law, according to the most recent pointers from its banking affiliation.
The advice was introduced in an Oct. 22 update of the Hong Kong Association of Banks’ (HKAB) regularly questioned issues in relation to anti-dollars laundering and counter-financing terrorism, which was printed on the web site of the Hong Kong Monetary Authority (HKMA).
Banking institutions ought to disclose property held by any consumer who is arrested or billed for an offence endangering national security or when they have understanding or suspicion that a assets is “offence similar house” following receiving information from law enforcement agencies, for each the clause.
HKMA and the HKAB did not immediately respond to a Reuters request for remark.
China imposed national stability laws in Hong Kong on June 30 past 12 months, generating anything at all Beijing regards as subversion, secession, terrorism or colluding with overseas forces punishable by up to life in jail.
Three months later, the banking association extra five clauses to the FAQs pertaining to anti-cash laundering and counter-financing terrorism, advising financial institutions of their reporting requirements below the law, how they should manage regulation enforcement requests and pointers about group-broad data sharing.
Transactions suspected to be linked to the law ought to be handled the exact as transactions suspected to be funds laundering or financing terrorism, in accordance to the clauses at the time.
The FAQs are not official recommendations but use to each Hong Kong and intercontinental banking companies.
Reporting by Kane Wu Editing by Kim Coghill
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