MPFA suspended the registration of KWAN Yin-ha as an MPF intermediary for 20 months
The MPFA has suspended the registration of KWAN Yin-ha as an MPF intermediary for 20 months from 24 June 2021 to 23 February 20231.
The MPFA found that when KWAN invited or induced an MPF scheme member to join or become a member of an MPF scheme as well as to transfer the scheme member’s MPF benefits from an MPF scheme to another scheme in around November or December 2018, she contravened the conduct requirements under the Mandatory Provident Fund Schemes Ordinance (MPFSO)2, including that when carrying on a regulated activity, a subsidiary intermediary must act honestly, fairly, in the best interests of the client and with integrity, and exercise a level of care, skill and diligence that may reasonably be expected of a prudent person who is carrying on the regulated activity. She also contravened the Guidelines on Conduct Requirements for Registered Intermediaries3 and the internal policy / guideline of her then-principal intermediary. The key facts of KWAN’s misconduct are summarized as follows:
(1) KWAN effected the transfer without the scheme member’s authorization and knowledge; and
(2) in order to complete the unauthorized transfer, KWAN misused the scheme member’s personal information, forged the scheme member’s signature by copying the scheme member’s signature from a previously signed form for another purpose and pasting it on the necessary transfer form.
In determining the disciplinary sanction, the MPFA took into account all relevant circumstances, including the nature, seriousness and impact of KWAN’s breaches and that she has no previous disciplinary record with the MPFA.
The case was referred to the MPFA following investigation by the Insurance Authority.
A copy of the Statement of Disciplinary Action is available here.
– Ends –
24 June 2021
1. KWAN (MPF Registration No. 037931) was a subsidiary intermediary attached to Sun Life Hong Kong Limited during 14 September 2000 to 26 March 2019. Subsequently, KWAN has been attached to Manulife International Limited as a subsidiary intermediary since 15 May 2020.
2. Section 34ZL(1)(a) and (b) of the MPFSO.
3. The Guidelines provides that an MPF intermediary should:
(a) treat all information supplied by a client as confidential, must not disclose or use such information except as permitted at law, and avoid any misuse of the personal information obtained in the course of its business activities (paragraph III.9); and
(b) comply with the controls, procedures and standards of conduct as required by his principal intermediary (paragraph III.20).