The Hong Kong Securities and Futures Commission (SFC) has suspended Ms Loretta Lee Si Kar, a responsible officer, manager-in-charge and director of Tung Tai Securities Company Limited, for three months and two weeks, from 1 December 2025 to 14 March 2026. The action relates to failures at Tung Tai linked to unauthorised sales of client securities and unauthorised transfers of client funds between 6 September 2019 and 18 February 2020, which the SFC attributed to Lee’s neglect of her duties as a senior manager. The SFC found Tung Tai acted on instructions from a bogus email address resembling that of an overseas client, sold shares from the client’s account and transferred USD 3,301,740 in proceeds to three overseas bank accounts not designated by the client. Despite red flags including multiple telegraphic transfer rejections and beneficiary address discrepancies, Tung Tai continued processing transfers, and the SFC concluded it failed to adequately safeguard client assets and lacked effective internal controls against theft, fraud and misappropriation. In setting the sanction, the SFC cited the seriousness of the control failures, Lee’s cooperation, and her otherwise clean disciplinary record. The suspension is in effect for the stated period, following the SFC’s earlier reprimand and HKD 900,000 fine on Tung Tai for the same underlying incident.

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