The Hong Kong court has ruled on the money laundering case of Hua Han Health.

On October 22, according to the Hong Kong Securities and Futures Commission, the High Court of Hong Kong today convicted Wang Mingjun (male) of two money laundering charges related to the misappropriation of funds from Huahan Health Industry Holdings Limited (Huahan) in 2015. The Securities and Futures Commission of Hong Kong welcomed the verdict. Wang was the former Chief Financial Officer and Company Secretary of Huahan. After admitting to the money laundering charges, he was sentenced to seven years and eight months in prison by the High Court today. The court also issued a disqualification order, prohibiting him from acting as a director of any company in Hong Kong without court permission for a period of 12 years. During the investigation of suspected false or misleading information in Huahan's financial statements from 2013 to 2015, the Securities and Futures Commission of Hong Kong uncovered that funds raised through Huahan's fundraising activities had been misappropriated in 2015. The Securities and Futures Commission then referred the investigation results to the police. Mr. Christopher Wilson, Executive Director of the Enforcement Division of the Securities and Futures Commission of Hong Kong, said, "Wang not only failed to fulfill his duties as a director, but also became an accomplice. Today's conviction highlights the serious breach of trust by Wang as the Chief Financial Officer of the company, and reaffirms that the responsibilities of a financial officer extend beyond transaction monitoring to include maintaining the financial integrity of the company and investor confidence through sound internal control measures." Mr. Wilson also stated, "Regardless of whether they are board members, anyone in a gatekeeping role who abuses their position to engage in or facilitate criminal activities not only violates their fiduciary duty, but also undermines the transparency and stability that are crucial for efficient and sustainable capital markets. The duty of gatekeepers is to protect shareholders, not exploit them. In cases like this, where trust is breached, we will not hesitate to use all available enforcement tools, including cooperation with the police, to ensure that justice is served and market integrity is upheld."