Core Viewpoint - The Hong Kong Securities and Futures Commission (SFC) has obtained a court order requiring former directors of Yu Cheng Gold Holdings Limited to pay HKD 57.5 million in compensation due to financial losses incurred from improper handling of the acquisition and sale of shares in Liao's Group Limited [1][2]. Group 1: Court Rulings and Penalties - The court ruled that former non-executive director Liao Junlun and former managing director Xu Guangxi must pay the compensation for their roles in the transactions that led to significant losses for Yu Cheng Gold [1][2]. - Liao and Xu are prohibited from serving as directors of Yu Cheng Gold and any other corporations for periods of eight and six years, respectively, due to the severity of their misconduct [1]. - Seven other former executive directors and independent non-executive directors have also had their directorships revoked for one to two years and are required to pay legal costs to the SFC [1][2]. Group 2: Legal Proceedings and Responsibilities - The SFC initiated legal proceedings in October 2016 under Section 214 of the Securities and Futures Ordinance, alleging that the directors violated their duties, resulting in substantial losses for Yu Cheng Gold [2]. - The court found that all involved directors had operated the business in a manner that oppressed the company, leading to unfair detriment and misconduct [2]. - The SFC emphasized that all directors, whether executive or non-executive, share equal legal responsibilities in managing the company's affairs and must safeguard shareholder interests [2][3]. Group 3: Regulatory Implications - The SFC welcomed the court's decision, highlighting its commitment to maintaining high standards of corporate governance and individual accountability [3]. - The ruling serves as a clear message that negligence in fulfilling fiduciary duties will result in accountability for all directors [3]. - The SFC reiterated its determination to take decisive action to protect investors and uphold market integrity [3].
香港证监会要求裕承科金两名前任董事向公司支付5750万港元赔偿