On 20 November 2009 the Hong Kong Monetary Authority (HKMA) reported that it had suspended Ms Leung Wai Yu’s registration for three months from 20 November 2009 to 19 February 2010.

HKMA’s investigation found that in March 2006, Ms Leung, who at the time was an employee of DBS Bank (Hong Kong) Limited, in the course of selling a client Constellation Credit Linked Note, had:

• failed to diligently disclose and explain to the client the product’s risk; and
• failed to complete the risk disclosure statement for the client in accordance with the bank’s internal control procedures      

The Constellation Credit Linked Note had included a reference to Lehman Brothers Holdings Inc. in respect of the occurrence of a credit event.

Mr Raymond Li, the Executive Director of the HKMA responsible for Securities Enforcement said: "This is the first time the HKMA has taken disciplinary action against a relevant individual in connection with a Lehman Brothers-related investment product.  There are other disciplinary cases which have reached an advanced stage and will be announced in due course."

Please use the following link to access the HKMA press release