🇭🇰 SFC Enforcement medium

Former vice president of Computershare jailed and fined for insider dealing

Published 18 December 2025 | Hong Kong

AI Analysis

Executive Summary

The Securities and Futures Commission (SFC) successfully prosecuted Mr. Choi Chun Wai, former Vice President of Computershare Hong Kong Investor Services Limited, for insider dealing in ENM Holdings Limited shares, resulting in a two-month prison sentence, a HK$289,500 fine (equal to avoided losses), and HK$120,407 in SFC investigation costs on 18 December 2025. This enforcement action highlights the SFC's aggressive stance against market professionals misusing non-public information, serving as a deterrent to uphold Hong Kong's market integrity. Compliance teams should note it reinforces personal liability for insider dealing under the Securities and Futures Ordinance (SFO), even for those in support roles like proxy coordination. #

What Changed

This is an enforcement case, not a regulatory change; no new rules, requirements, or amendments to the SFO or Listing Rules were introduced. It exemplifies ongoing application of existing insider dealing prohibitions under SFO sections 270-271, where individuals with inside information (e.g., on privatization failure from proxy forms) must not deal in relevant securities. The court's emphasis on "immediate custodial sentence" for professionals in positions of trust signals stricter sentencing norms for such offenses. #

What You Need To Do

Enhance insider dealing training
Strengthen information barriers
Monitor personal trading
Conduct insider lists and attestations
Audit workflows
Update policies post-enforcement

Key Dates

2 June 2023 - ENM and Offeror announced proposed privatization, engaging Computershare for proxy and voting services.

22 September 2023 - Choi learned inside information on privatization failure from proxy forms.

25 September 2023 - Choi sold 1,500,000 ENM shares, avoiding HK$289,500 loss ahead of announcement.

26 September 2023 - Scheduled court meeting for privatization voting.

27 September 2023 - ENM announced privatization lapse; share price fell 10.26% to HK$0.35.

4 December 2025 - Eastern Magistrates' Court convicted Choi after guilty plea; remanded in custody.

Compliance Impact

Urgency: Medium - This reinforces existing obligations rather than imposing new ones, but the custodial sentence for a mid-level professional elevates personal risk awareness, prompting immediate policy reviews to mitigate SFC scrutiny. It matters for firms in investor services or with staff in trust positions, as SFC vows "robust enforcement" amid a spate of market abuse cases, potentially increa

Who is Affected

Market professionals and senior staffpublic corporate actions like privatizations.Licensed corporationsIndividualsFamily officesnet-worth individuals, as spotlighted in analyses for risks in private holdings amid corporate events.