HSBC Hong Kong has recently sent notices to some existing investment clients from mainland China, asking them to submit an Account Opening/Maintenance Declaration through the HSBC Hong Kong app and update their contact details by Sept. 12, according to Jiemian News in a report cited by Odaily.
The declaration asks clients to confirm that funds used for investment activities come from lawful sources outside mainland China. It also states that the bank may disclose personal information if requested by law enforcement or regulatory authorities.
The notice says investment-related services may be suspended if the declaration is not submitted by Aug. 20. If clients still fail to submit it by Sept. 12, those services may be terminated.
In a response to Jiemian News, an HSBC Hong Kong spokesperson said: 「When managing relationships with investment clients, we comply with relevant regulatory requirements. We therefore invite relevant mainland Chinese investors to provide a self-declaration and confirm that the information they provided in Know Your Customer (KYC) and customer due diligence processes is current and valid. This helps us continue providing uninterrupted services to clients. This latest declaration requirement applies only to our investment services clients.」
Reference to a Hong Kong Monetary Authority notice issued in May
Jiemian News said that in May this year, the Hong Kong Monetary Authority issued a notice on monitoring measures to be taken when opening investment accounts and maintaining client relationships. That included additional measures required when opening and managing investment accounts for mainland investors.
The measures specifically covered areas including closing investment accounts opened with suspicious or forged documents, closing inactive investment accounts with zero balances, and the opening of new investment accounts.