HSBC says SEC probing its hiring practices in Asia

Tuesday, 23 February 2016 00:00 - - {{hitsCtrl.values.hits}}

Reuters: HSBC said on Monday it was being investigated by the U.S. Securities and Exchange Commission (SEC) in relation to hiring practices of candidates with ties to government officials in Asia.

In a footnote to its earnings statement, the bank said it had received various requests for information from the SEC, which was also targeting other financial institutions as part of the same probe.

“HSBC has received various requests for information and is cooperating with the U.S. Securities and Exchange Commission (SEC) investigation. It would be inappropriate to comment further,” HSBC spokesperson Gareth Hewett told Reuters.

The SEC opened in 2013 a probe into JPMorgan regarding the hiring of ‘princelings’, the term used in Asia to refer to the children or younger relatives of China’s political leaders or of powerful executives at state-owned enterprises.