Effective on January 1, 2013, HK-listed companies will have a statutory obligation under new Part XIVA of the Securities and Futures Ordinance (SFO) to disclose price-sensitive information (defined as “inside information”) to the public, as soon as reasonably practicable after the inside information has come to their knowledge.
Breaches of the statutory disclosure requirement will be subject to civil sanctions, including a regulatory fine up to HK$8 million on the listed company and/or each of the directors, and potential civil liability to those who suffer pecuniary loss as a result. By the end of 2012, listed companies will wish to ensure they have protocols in place to manage price sensitive information and that they understand the statutory safe harbors and how to deal with speculation and rumors.
Please see full publication below for more information.