HK regulator bans former responsible officer of Changjiang Corporate Finance for seven years
The Hong Kong Securities and Futures Commission (SFC) has prohibited Mr Ivan Chan Chuk Cheung, a former responsible officer (RO) of Changjiang Corporate Finance (HK) Limited (CJCF), from re-entering the industry for seven years from 10 October 2023 to 9 October 2030.
The reason for the regulatory decision is Cheung’s failing to discharge his supervisory duties as a sponsor principal in charge of five listing applications.
The disciplinary action follows the earlier sanctions against CJCF for serious and extensive failures in discharging its duties as the sponsor in six listing applications, including the Five Listing Applications. The Five Listing Applications concerned Pacific Infinity Resources Holdings Limited, Perpetual Power Holdings Limited, Van Chuam International (Cayman) Limited, Rising Sun Construction Holdings Limited and Byleasing Holdings Limited.
The SFC found that the failures committed by CJCF, being the sole sponsor in the Five Listing Applications, were attributable to neglect on the part of Chan.
Specifically, Chan failed in his role as the sponsor principal to:
- exercise due skill, care and diligence in handling the Five Listing Applications;
- diligently supervise the transaction teams in carrying out the sponsor work; and
- ensure the maintenance of appropriate standards of conduct by CJCF.
In deciding the disciplinary sanction, the SFC has taken into account all relevant factors, including the gravity of Chan’s failures as a sponsor principal and his otherwise clean disciplinary record with the SFC.