Hong Kong's Securities and Futures Commission announced that the Eastern Magistrates’ Courts granted the Department of Justice’s application to transfer an Securities and Futures Commission securities fraud case to the District Court for criminal proceedings. The transfer is described as the first District Court prosecution for securities fraud involving illegal short selling under section 300 of the Securities and Futures Ordinance. The two defendants, Chan Hoi Shing and Li Po Ching, are alleged to have operated a fraudulent scheme involving illegal short selling in the shares of 28 Hong Kong-listed companies. Bail was extended on conditions including a travel ban, surrender of travel documents, regular police reporting, residence requirements, and cash bail of HKD 280,000 each. The first hearing in the District Court is scheduled for 9 April 2026.
Hong Kong Securities & Futures Commission 2026-03-20
Hong Kong's Securities and Futures Commission sees illegal short-selling securities fraud case transferred to District Court with hearing set for 9 April 2026
Hong Kong's Securities and Futures Commission transferred a securities fraud case involving illegal short selling to the District Court, marking the first prosecution under section 300 of the Securities and Futures Ordinance. Defendants Chan Hoi Shing and Li Po Ching are accused of a fraudulent scheme involving 28 Hong Kong-listed companies. Bail conditions include a travel ban, surrender of travel documents, regular police reporting, residence requirements, and cash bail of HKD 280,000 each.