Ming Pao cited reports that Bright Smart Securities and Finance (01428.HK), through its Bright Smart Securities representative lawyer, sent letters to multiple brokerages stating that on the afternoon of October 24, around 2 pm to 4 pm, there was suspicion of hackers infiltrating their clients' accounts to conduct unauthorized stock trades, unusually repeating trades of Chi Kingstone (01380.HK) shares. However, after checking with the relevant clients, it was confirmed that no stock transactions were made. Clients indicated that their accounts were invaded by hackers impersonating them and instructing to buy the related stocks. The news revealed that Bright Smart has compensated all client losses.

It is reported that Bright Smart suspects some sellers of Chi Kingstone stocks conspired to defraud its clients. They have reported to the police, Joint Financial Intelligence Unit, and the Securities and Futures Commission, believing that relevant institutions are investigating the incident. Bright Smart also requested brokerages involved in the transactions on that day to report to the police and regulators, temporarily freeze the related client accounts, prohibit them from withdrawing profits from unauthorized trades, and wait for further instructions from law enforcement agencies. However, it is mentioned that many brokerages that received the lawyer's letter from Bright Smart did not accept the request to freeze the accounts of selling clients on the grounds that the lawyer's statement alone was insufficient.

The police confirmed that they had received reports on that day, and the case has been handed over to the Cybersecurity and Technology Crime Bureau for follow-up. No arrests have been made yet. The SFC declined to comment on specific incidents, only stating that all public complaints will be followed up and handled according to established procedures.

On that day, the stock price of Chi Kingstone fluctuated significantly, rising by nearly eightfold at one point and then sharply falling back. However, based on the closing price of 0.138 yuan on yesterday (the 7th), it has essentially returned to the level before the suspected hacker activity. Although the lawyer's letter did not mention the number of client accounts or amounts involved in the incident, the market estimates that Bright Smart may incur losses of around 4.5 million yuan.