On 1 March 2018, new legislation on Significant Controllers Register (SCR) came into force in Hong Kong which affects most companies in the territories.

As part of the new 'Companies (Amendment) Ordinance', local firms not listed on the Hong Kong stock exchange must identify people who have "significant control" over their business. Details of these people must be kept in a register – and the register, while not a public document, must be available to law enforcement officer for inspection on demand.

Outwardly, this can seem a niche piece of legislation – but it is a potential banana skin for corporations with a presence in Hong Kong . Failure to comply with the new legislation is a criminal offence; and companies caught out are liable for a fine of HKD$25,000 – as is every responsible person at that company.

How TMF Group can help

TMF Hong Kong's corporate secretarial team can assist clients to identify their significant controllers and set up their new register.

Services we provide include:

  • Take reasonable steps to identify the significant controllers
  • Prepare/send notice (where applicable) to any person who is believed to be the significant controller and any person who is believed to know the identity of the significant controllers
  • Set up the significant controllers register (SCR)
  • Act as the designate  representative
  • Keep the SCR in TMF Group's office.

For more information on TMF Hong Kong's significant controller services, please get in touch.

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.