Hong Kong: Compliance

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Article
Securities And Futures Commission’s First Ransomware-related Enforcement Action Signals Tougher Cybersecurity Stance
Hong Kong's Securities and Futures Commission has imposed a HKD2.1 million fine on Luk Fook Securities following a ransomware attack that crippled its trading systems for over two weeks. The enforcement action reveals systemic cybersecurity failures across network protection, access controls, and business continuity planning, marking a significant shift from regulatory guidance to direct financial penalties for cyber control deficiencies.
Hong Kong Strategy
AO
A&O Shearman
Article
PRC Individual Income Tax On Offshore Trusts Considerations For Offshore Trust Structures
The PRC Ministry of Finance and State Taxation Administration have issued a groundbreaking announcement imposing individual income tax on offshore trusts with Chinese connections, treating them as tax transparent structures. This regime creates tax triggers throughout the trust lifecycle and includes a critical 90-day transitional filing window for existing structures. Affected individuals with offshore trusts connected to PRC residents or assets must urgently assess their compliance obligations under this
Hong Kong Tax
C
Conyers
Article
Strengthening Cybersecurity Resilience In The Age Of AI: Key Takeaways From The Hong Kong SFC Circular
The Hong Kong Securities and Futures Commission has issued new guidance calling on licensed financial firms to strengthen their cybersecurity defenses against AI-enabled cyberattacks, as recorded incidents surge 27% year-over-year. The circular outlines five critical areas requiring immediate review and enhancement, from vulnerability management to incident response protocols, while emphasizing that senior management bears ultimate responsibility for cybersecurity risk in this rapidly evolving threat landsc
Hong Kong Technology
MB
Mayer Brown
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