JP Morgan Fined By Hong Kong Watchdog Over Money Laundering Controls

JPMorgan Hong Kong violated six provisions of the rules between April 2012 and February 2014, the HKMA said in a statement on Friday. The bank did not conduct relevant customer due diligence and handled wire transfers on the SWIFT messaging system without including the names of the originators.

Hong Kong introduced anti-money laundering laws in 2012, and State Bank of India was the first to be fined in 2015 followed by Coutts and Shanghai Commercial Bank. In October 2017 the HKMA, the city’s de facto central bank, said it was investigating eight banks for alleged violations.

JPMorgan’s Hong Kong unit had self-identified and reported certain deficiencies, and had undertaken positive and extensive remediation work, the HKMA said. It added that the bank has no previous disciplinary record in relation to the anti-money laundering ordinance.