Japan's Financial Services Agency Orders Moomoo Securities to Partially Suspend Operations

Odaily Planet Daily News On June 19, Japan's Financial Services Agency (FSA) ordered moomoo Securities to partially suspend operations, requiring it to halt the solicitation and acceptance of new account openings from June 19 to September 18 for a period of three months. At the same time, the regulatory authority also issued a business improvement order, mandating that the company clarify the allocation of responsibilities, including among management, and formulate a corrective plan to prevent recurrence.

According to disclosures, moomoo Securities engaged in misconduct such as providing false explanations to customers regarding the scope of application of Japan's Individual Savings Account (NISA) system. Additionally, there were multiple internal management issues, including long-standing deficiencies in suspicious transaction screening and reporting, as well as insufficient cybersecurity measures. Moomoo Securities is the Japanese subsidiary of Futu Holdings.