The Hong Kong Monetary Authority (HKMA) took disciplinary actions against three banks — Indian Overseas Bank (Hong Kong Branch), Bank of Communications (Hong Kong), and Bank of Communications (Hong Kong Branch) — for violations of the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO).
- The banks were found to have deficiencies in their transaction monitoring systems, oversight of AML/CFT controls, and in loading certain transaction types into their monitoring systems.
- The HKMA reprimanded IOBHK, required a retrospective review of past transactions, and demanded remedial plans. It also imposed pecuniary penalties: HK$8.5 million on IOBHK, HK$4 million on BCOM(HK), and HK$3.7 million on BCOM Hong Kong Branch.
- The findings emphasised that effective AML controls, ongoing vigilance and robust systems are required—not just policies on paper.