The Institute issued a submission in response to the consultation paper issued by the Stock Exchange of Hong Kong Limited (HKEX) on Review of Listing Rules Relating to Disciplinary Powers and Sanctions. The Institute’s Corporate Finance Advisory Panel (CFAP), in principle, supports the introduction of more effective and graduated disciplinary and sanctioning powers by the HKEX. However, the CFAP has concerns about the implications of some of the proposals to lower or remove thresholds for taking disciplinary action, and also about the extent to which the “Relevant Parties” subject to disciplinary actions and sanctions will be expanded to professional advisers, under a form of “secondary liability”. |