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Clark County Nevada District Judge Elizabeth Gonzalez is considering further sanction against Sands China Ltd. for redacting “personal information” from about 2,600 documents the company produced in 2013 as part of an ongoing wrongful termination suit first filed in 2010 by Steven Jacobs, the former president of Sands Macau. Jacobs alleges that he was wrongfully fired for refusing to engage in unlawful acts, including promoting prostitution and spying on Chinese politicians in order to find…
The Hong Kong Privacy Commissioner of Personal Data (the “Commissioner”) ended 2014 with a special interest in mobile applications (“apps”). In a media statement published 15 December 2014, the Commissioner reported that versions 4.3 and earlier of Google’s Android operating system contained a flaw that allowed others to read shared memory in mobile devices without the proper user permission. The Commissioner had contacted Google twice to formally request it to “take corrective action and/or warn…
More than a year ago, we began following the so-called Ernst &Young (“EY”) State Secrets Case in Hong Kong.  On 23 May 2014, the High Court of Hong Kong finally concluded that there was no “reasonable excuse” for EY’s failure to comply with Securities and Futures Commission (“SFC”) notices seeking information and documents, and that EY had “deliberately withheld from SFC.” Though EY has since produced a disc of documents it held in Hong…
Evidence kicked off last week in the highly anticipated case brought by Hong Kong’s Securities and Futures Commission (“SFC”) against Ernst & Young Hong Kong (“E&Y”) over its failure to adequately respond to statutory requests for information in relation to an SFC investigation of the failed 2009 IPO of Chinese waste management company, Standard Water Limited (“Standard Water”).1 A copy of the SFC’s August 2012 originating summons can be found here. In 2010, the…
Australian national Trent Martin agreed not to challenge a U.S. extradition order in Hong Kong’s Eastern Magistrates Court January 4, 2012. This is the second time in more than 10 years that U.S. authorities have extradited someone on insider trading charges. Please click here to read the issued Client Alert.…
This post was also written by Terence Healy. Yesterday, the SEC instituted administrative proceedings against the Chinese affiliates of the “Big Four” accounting firms and BDO related to audits they conducted at nine Chinese companies. At issue is the accounting firms’ “willful refusal” to provide audit work papers and other materials the Commission seeks in its investigations into potential accounting irregularities at several China-based companies whose securities are publicly traded in the United States. The administrative…
Defining “insider trading” is already difficult enough, especially across different jurisdictions where elements and defenses can vary ever so slightly, and yet can result in very big differences. But try translating the term to your Chinese-speaking client. The most commonly used translation for insider trading is “內幕交易” (nèimùjiāoyì) – which literally means “trading behind the curtain.” However, Hong Kong’s financial analysts, journalists and bloggers have taken to calling insiders “春江鴨”(chūn jiāng yā), or “spring river…
The Eastern Magistracy of Hong Kong recently found former Hong Kong civil aviation chief, Albert Lam Kwong-yu, guilty of insider dealing. On June 4, 2010, Lam, who at the time was an independent non-executive director (“INED”) of Hong Kong Aircraft Engineering Company (“HAECO”), received a call at 3:13 p.m. from HAECO’s Chief Executive Officer about a coming deal in which Cathay Pacific Airways Limited, a substantial shareholder, would sell all its HAECO shares to Swire…