The Hong Kong Securities and Futures Commission (SFC) has suspended the license of Mr. Zhou Zilin, a former responsible officer and core function director of the now-dissolved Hanor Asset Management Limited (Hanor Asset), for 12 months from September 2, 2025 to September 1, 2026, due to deficiencies in fund management. The SFC took this disciplinary action following an investigation.

The investigation revealed that Hanor Asset, serving as investment manager of a fund incorporated in the Cayman Islands, invested up to 100% of the fund's assets in debt securities issued by companies controlled by Mr. Wu Jiashun, Hanor Asset's sole shareholder, director, and another responsible officer. Consequently, Hanor Asset failed to avoid conflicts of interest and did not properly manage the fund's risks.

Hanor Asset also caused the fund to invest in two debt securities that appeared to be established for the purpose of inflating the fund's net asset value. The SFC has already taken disciplinary action against Wu, who made investment decisions for the fund and bore primary responsibility for these deficiencies.

The SFC found that Zhou failed to fulfill his duties as a responsible officer and senior management member of Hanor Asset, namely failing to ensure that the company acted in the best interests of the fund and its investors while complying with applicable regulatory requirements.

In determining the disciplinary sanctions, the SFC considered all relevant circumstances, including: Zhou's cooperation in addressing the SFC's concerns; his lower level of responsibility within Hanor Asset compared to Wu; unlike Wu, the SFC found no evidence of dishonest conduct by Zhou; Zhou's whistleblowing that triggered the SFC's investigation; and Zhou's clean disciplinary record.