HKMA Fines WeChat Pay Hong Kong HK$875,000

The Hong Kong Monetary Authority (HKMA) has imposed a fine of HK$875,000 on WeChat Pay Hong Kong Limited for failing to adhere to anti-money laundering (AML) and counter-financing of terrorism (CFT) regulations. An investigation revealed that from August 2016 to October 2021, WeChat Pay did not implement adequate customer due diligence measures, particularly in high-risk situations. The HKMA noted that the company delayed action on critical information received from law enforcement regarding potential scams, with response times ranging from 80 to 900 days. HKMA Executive Director Raymond Chan emphasized the necessity for enhanced due diligence procedures among stored value facility (SVF) licensees. The disciplinary action serves as a reminder of the importance of robust AML and CFT controls in the financial sector. WeChat Pay's self-reporting and cooperation were considered during the decision-making process.