Hong Kong:
Hong Kong Cotton Exporter To Pay Monetary Penalty To Settle Alleged Reporting Violations
11 July 2017
Cadwalader, Wickersham & Taft LLP
To print this article, all you need is to be registered or login on Mondaq.com.
Huafu HK Co. Ltd. ("Huafu"), a Hong Kong-based cotton
manufacturer/exporter, agreed to pay a $225,000 civil monetary penalty
to settle CFTC charges alleging violations of Form 304
("Cotton on-Call Report") reporting requirements.
The CFTC Order specified that Huafu failed to file
the required weekly Form 304 reports on approximately 78 occasions
when Huafu held or controlled at least 100 cotton futures
positions. A Form 304 report shows the "quantity of call
cotton purchased or sold on which the price has not been fixed,
together with the respective futures on which the purchase or sale
is based." Filing a Form 304 report is required whenever a
cotton merchant holds a reportable position in cotton of at least
100 cotton futures positions. Huafu agreed to implement internal
controls in order to comply with Form 304 filing requirements.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
POPULAR ARTICLES ON: Finance and Banking from Hong Kong
Contemporary Trends In Corporate Banking
Elias Neocleous & Co LLC
With the ever-evolving global financial landscape, the rapid pace of technological advancements and high customer expectations, the future of corporate banking is set to undergo...
Cayman Islands Investment Funds Update Q1 2024
Carey Olsen
Our investment funds team outline the latest developments within the investment funds market in the Cayman Islands including the removal of the jurisdiction from the Financial Action Task Force...
Trading Standards: Application To Your Business
Appleby
The Trading Standards (Fair Trading) (Guernsey) Ordinance, 20231 (Ordinance) came into force last October and created a new statutory framework for consumer protection and fair trading in Guernsey.