What Changed
- Hong Kong Customs detected an unregistered local company carrying out diamond transactions over HK$120,000 on November 10, 2026.
- Cap. 615 mandates registration with Hong Kong Customs for any cash or non-cash transaction at or above HK$120,000 in precious metals and stones.
- Unlawful operations by non-registrants carry statutory criminal liability of up to a HK$100,000 fine and six months' imprisonment.
Dealers in precious metals and stones carrying out high-value transactions in Hong Kong SAR face strict regulatory oversight under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Cap. 615). On November 10, 2026, Hong Kong Customs detected a case involving a local company that conducted transactions involving diamonds valued at over HK$120,000 without completing the required registration under the Dealers in Precious Metals and Stones Regulatory Regime. Hong Kong Customs confirmed that the investigation remains ongoing.
According to Cap. 615, unless specifically exempted, any person seeking to carry on a business of dealing in precious metals and stones and engage in any transaction—whether making or receiving a payment—with a total value at or above HK$120,000 in Hong Kong SAR is required to register with Hong Kong Customs. This statutory mandate covers both cash and non-cash transactions.
The legislation establishes explicit criminal liability for non-compliance. Any dealer other than a registrant who claims to be a registrant, claims to be authorised to carry out specified transactions, or carries out any cash or non-cash transaction with a total value at or above HK$120,000 is liable upon conviction to a maximum fine of HK$100,000 and imprisonment for six months.
Hong Kong Customs issued a reminder to all precious metals and stones dealers that they must obtain the necessary registration before executing any cash or non-cash transactions reaching or exceeding HK$120,000. Registration forms, application procedures, and regulatory guidelines are accessible via the Dealers in Precious Metals and Stones Registration System website (www.drs.customs.gov.hk) and the dedicated Hong Kong Customs webpage.
Members of the public are encouraged to report any suspected transactions involving precious metals and stones with a total value at or above HK$120,000 conducted without registration. Reports can be submitted to Hong Kong Customs via its 24-hour hotline (182 8080), dedicated crime-reporting email account ([email protected]), or online reporting form (eform.cefs.gov.hk/form/ced002).
Who May Be Affected
Businesses and dealers engaging in cash or non-cash transactions involving precious metals and stones valued at or above HK$120,000 in Hong Kong SAR.
Cross-Border Context
International dealers, traders, and businesses carrying out high-value precious metals and stones transactions in Hong Kong SAR must ensure formal registration under Cap. 615 prior to trading.
What to check next
- Review guidance materials on the Dealers in Precious Metals and Stones Registration System portal (www.drs.customs.gov.hk).
- Monitor further announcements from Hong Kong Customs regarding the outcome of the ongoing investigation.
This article provides general information and does not constitute legal advice. Consult the official text and obtain advice appropriate to your circumstances where needed.