Hong Kong SFC Issues Restriction Notice to Brokerage Firm to Freeze Over HK$125 Million Assets in Suspected IPO Fraud

Odaily Odaily reports that the Hong Kong Securities and Futures Commission (SFC) has issued a restriction notice to Futu Securities (03588.HK) International (Hong Kong) Limited, prohibiting it from dealing with or disposing of assets within a client account held by a certain entity, up to a limit of HK$125 million. The entity is suspected of being involved in a fraudulent scheme aimed at creating a false or misleading appearance of demand for shares in an initial public offering (IPO). Futu is not the subject of the SFC's investigation, and the restriction notice will not affect Futu or its other clients. The SFC considers it desirable to issue the restriction notice in the interests of the investing public and the public, and the investigation is ongoing. (Jin Shi)