3.6万 yuan counterfeit IPO "one-stop shop" fake exchange undercurrent strikes Hong Kong again

Securities Times Reporter Wu Shun

Since 2025, the IPO market in Hong Kong has been booming, with fundraising topping the global rankings, and the trading hall of the Hong Kong Stock Exchange is constantly ringing with gongs. Against this backdrop, the business of listing on so-called “pseudo exchanges” in Hong Kong has become hot again, with some companies taking advantage of this trend to participate in so-called “listing” and “gong-ringing” ceremonies.

It is worth noting that these “pseudo exchanges” highly imitate and “copy” legitimate exchanges, creating convincing websites with beautiful designs to simulate authenticity, which can be highly confusing for ordinary investors. Meanwhile, companies that “list” on these “pseudo exchanges” often use the opportunity to promote their equity or so-called “original shares,” hiding numerous investment risks.

3.6 Million Yuan Can Fake a Full IPO “One-Stop” Service

In mid-March, a Securities Times reporter contacted an intermediary who claimed to facilitate listings in Hong Kong. He said that for only 36,000 yuan, a company could be listed and have a gong-ringing ceremony in Hong Kong, with services including stock code assignment, website publicity, and a full “listing” package. “We held a listing and gong-ringing event in Shenzhen on March 28. You can provide a list of 6 to 8 participants, and we will handle the arrangements, record videos on-site, conduct interviews, and edit a promotional video,” the intermediary claimed.

It is understood that this intermediary offers a service called “Hong Kong Equity Trading Display Center” website listing. The Securities Times found that since 2026, seven companies have been listed on this center, and over 130 companies had been listed in 2025.

The website claims to be established with legal approval from the Hong Kong SAR government, mainly providing professional international capital services for small and medium-sized enterprises (non-listed) in Hong Kong and mainland China, including listing, financial advisory, and listing consultation. The platform aims to help SMEs improve competitiveness and optimize industrial structure by offering branding, compliance training, and listing display services based on Hong Kong and local laws, ultimately accelerating their growth and entry into the global capital markets suited to their development stage.

Some intermediaries say: “Listing on the Hong Kong Equity Trading Display Center can help companies access more funding, inject new vitality into their development, and enhance brand awareness and market competitiveness, attracting more investors and partners. It provides a broad platform for companies to showcase their strength, expand financing channels, and increase brand influence.”

The so-called review process for listing on the “Hong Kong Equity Trading Display Center” is a mere formality, requiring only a simple listing application, company information, legal representative details, and a signed commitment letter. The intermediary states that after filling out the information and paying the relevant fees, a stock code and website display can be provided within three to five working days.

A company that was listed on this website in 2025 even posted a video of the gong-ringing ceremony. The video shows that the listing, gong-ringing, and speech segments are complete replicas of the official listing ceremonies of legitimate exchanges, dubbed a “high-fake version”: seven or eight company personnel wearing red scarves gather around a copper gong to ring it and take photos, while the company leader excitedly states that the company’s development has entered a new stage.

The listing fee on this website varies by individual, with some claiming 36,000 yuan and others 48,000 yuan. The “Hong Kong Equity Trading Display Center” states on its website that it does not directly accept listing applications from companies without recommendation from member organizations, and the fees for consulting services from recommended members are set by the level of value-added services provided.

Multiple Fake “Copycat” Sites Mimicking Legitimate Exchanges

There are many such “fake” websites like the “Hong Kong Equity Trading Display Center,” including “Hong Kong Global Equity Trading Center,” “Hong Kong Science and Technology Innovation Equity Transfer Market,” and “Hong Kong Equity Trading Center.” These “pseudo exchanges” often imitate the logos and names of Hong Kong Exchanges or mainland exchanges.

For example, the “Hong Kong Equity Trading Center” calls its listing board “Chuangke Board,” directly copying the STAR Market of the Shanghai Stock Exchange, with the English abbreviation “HKEE,” which is easily confused with HKEX, the Hong Kong Stock Exchange. The “Hong Kong Global Equity Trading Center” replicates the HKEX’s blue and red color scheme in its logo, with listing segments called “Science and Technology Innovation Board,” “Innovation Board,” and “International Board.”

These “pseudo exchanges” also provide opportunities for illegal fundraising and selling of so-called original shares, hiding significant risks, with some companies openly claiming they are “listed.”

However, when the Securities Times asked whether listing on the “Hong Kong Equity Trading Display Center” equates to “going public,” the intermediary straightforwardly said: “This is not considered a listing; companies must take it step by step. After listing, you can say you’re closer to the capital market.”

Many intermediaries promote that after listing, a company’s value can be “realized”: “Small and micro enterprises face long-term financing difficulties—high bank loan requirements, high costs of private lending, and high thresholds and fees for domestic capital markets. After listing, companies can raise funds through private equity, private bonds, and other methods; their shares can be legally bought and sold, allowing partial realization of equity.”

In fact, the “Hong Kong Equity Trading Display Center” explicitly states in its listing commitment that companies must not use terms like “listed,” “stock code,” or “equity code” in their publicity, nor engage in illegal fundraising or fraud through “original shares” or “equity crowdfunding.” The website also disclosed that due to complaints from multiple individuals, several companies were suspected of private or illegal financing and were delisted. Many companies listed here are using this as a cover for illegal fundraising or selling original shares. The “Hong Kong Global Equity Trading Center” website even publishes the equity financing needs of listed companies, with amounts ranging from one million to several million yuan.

Beware of “Equity” Investment Risks

It is important to note that most of these “pseudo exchanges” have been listed as “fake regulatory agencies or market operators” by the Hong Kong Securities and Futures Commission (SFC) several years ago.

The SFC states that setting up fake regulatory or market operator websites is a common scam tactic aimed at deceiving unsuspecting investors into believing that the listed entities or intermediaries are regulated by real authorities. In reality, these financial institutions have never been recognized by any genuine regulatory body. Scammers may claim to conduct transactions through recognized market operators (such as stock exchanges) to deceive investors. These websites are often beautifully designed, featuring the latest financial news to create a false sense of legitimacy, but the actual regulatory or market operation entities do not exist.

Zhejiang Baihe Law Firm’s full-time lawyer Jiang Huaqin told the Securities Times that mainland companies paying fees to unlicensed agencies in Hong Kong for “listing” or “going public” and then selling original shares clearly constitute false statements and illegal securities issuance under the Securities Law. The involved unlicensed agencies, companies, and responsible persons may face criminal charges such as illegal business operations and fraud. Third-party organizations or individuals assisting “pseudo exchanges” in promoting or recruiting mainland companies for listing may be jointly liable for infringement and compensation, and may also be criminally liable for illegal business operations or fraud.

Lawyer Xu Yuehui from Guangdong Huanyu Jingmao Law Firm pointed out that, according to the Securities Law, unlicensed agencies lack the qualifications for securities issuance and trading. Selling original shares to the public or raising funds under the guise of listing without registration constitutes illegal securities issuance. If they fictitiously list or forge listings with the intent to defraud investors and embezzle or squander the funds, it constitutes a criminal offense of illegal fundraising. Therefore, the above behaviors by mainland companies may involve crimes such as illegal business operations or fraud.

“Overseas listing is ultimately a company’s golden business card, but scammers exploit this desire to ‘gold-plate’ their image and set traps for fraud. To prevent such ‘overseas listing’ scams, first, verify credentials—mainland companies must be filed with the China Securities Regulatory Commission (CSRC) and approved by the Hong Kong Stock Exchange. Second, beware of tempting phrases like ‘fast listing,’ ‘no threshold,’ ‘high returns,’ and ‘original shares.’ Third, verify documents—companies can check the authenticity of their documents on the official websites of the Hong Kong Stock Exchange and the CSRC. Fourth, refuse private transactions—stock trading must be conducted through legitimate securities accounts. Most importantly, keep evidence—save all promotional materials, contracts, transfer records, chat logs, etc., to facilitate future rights protection,” Jiang Huaqin advised.

Xu Yuehui reminded that if investors suffer losses due to false listing promotions, the involved companies should bear liability for false statements. Investors can sue in mainland courts; the Beijing Financial Court has already set a precedent for jurisdiction over such cross-border fraud cases. “For such scams, investors should not trust ‘overseas listing’ promotions blindly. Be highly alert to investment opportunities requiring the purchase of original shares, and strictly adhere to the principle of ‘no license, no investment; no registration, no purchase.’”