Actions against
Wing On Cheong Securities Co Ltd
and its two Dealing Directors, Mr Li Ding Ching, Charles and Ms Kong Oi Chu

The Stock Exchange of Hong Kong announces that on March 1, 2 and 15, 2000, the Disciplinary Committee heard the cases of the Exchange Participant, Wing On Cheong Securities Co Ltd ("WOC"), and its two Dealing Directors, Mr Li Ding Ching, Charles ("Mr Li")and Ms Kong Oi Chu ("Ms Kong"). The Disciplinary Committee found four charges against each of WOC, Mr Li and Ms Kong for breach of the Rules of the Exchange proved.

The substance of the charges was that during the period December 1992 to May 1997, WOC had failed and Mr Li and Ms Kong had failed to ensure that WOC had:-

1. satisfactory internal control procedures;

2. properly handled clients' complaints;

3. provided its clients with statements of accounts on request; and

4. reported in writing to the Exchange where it had reason to suspect any breach, infringement or non-compliance with the rules and regulations of the Exchange by its sales representatives.

The Disciplinary Committee, having considered all the information before it including the penalties imposed in previous cases and the representations of WOC, Mr Li and Ms Kong, resolved that a penalty of public censure plus a fine of HK$100,000 be imposed on WOC and a penalty of public censure plus a fine of HK$30,000 be imposed on each of Mr Li and Ms Kong. The penalty of public censure is hereby imposed on each of WOC, Mr Li and Ms Kong.