In Securities and Futures Commission v Wong Yuen Yee and others, the Court of First Instance of the Hong Kong High Court (CFI) ordered the Securities and Futures Commission (SFC) to produce relevant documents obtained in its investigations to respondents of disqualification proceedings. In view of the SFC’s extensive investigative powers, the CFI ruled that the SFC should disclose all materials available for potential use in trial, including documents that may undermine its case.
The SFC possesses a wide range of investigative powers in obtaining information and compelling a person to attend an interview to answer questions under the Securities and Futures Ordinance. Unlike criminal investigations, an interviewee does not have the right to remain silent in SFC investigations. Non-compliance is a criminal offence punishable by imprisonment and fines.
In this case, the documents sought to be disclosed were materials gathered by the SFC through the exercise of such powers. Most of the information obtained by the SFC was previously not available to the respondents of disqualification proceedings. In some cases, the respondents resigned before the disqualification proceedings were commenced and lost access to the relevant documents in their capacity as directors.
Business Law Digest is compiled with the assistance of Baker McKenzie. Readers should not act on this information without seeking professional legal advice. You can contact Baker McKenzie by e-mailing Danian Zhang (Shanghai) at: danian.zhang@bakermckenzie.com
