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Register for online operators to help guard personal data

Hong Kong's privacy commissioner plans to introduce a new registration system for online merchants and service providers, in an effort to stem the growth of bogus websites designed to pilfer valuable personal data from the unwary.

Commissioner Raymond Tang Yee-bong said he would like to require some of Hong Kong's 35,000 website operators - including online retailers, brokerages and banks - to register with the Privacy Commissioner's Office (PCO) before they can collect client information.

He said the data privacy law empowers him to introduce a registration system for all companies that collect information from clients. The PCO would then publish all the information for the public to check free of charge, he said.

'The PCO has not used this power over the past seven years for fear it would affect too many businesses,' said Mr Tang. 'The recent problems with fake websites, however, make the time right to begin registering online retailers and banks.

'The registration system will not lead to the disappearance of all fake websites overnight. It does, however, provide a way for the customers to check if the websites operators have been registered.'

Mr Tang expects some online traders to oppose the registration system, but said that it would help strengthen public confidence to do more shopping and trading online.

Since the beginning of this year, websites masquerading as portals for Citibank, Bank of East Asia, HSBC, DBS and many other financial institutions have been trying to hoodwink internet users into divulging pin numbers and other confidential data.

The existing law allows for the imposition of a $10,000 fine and six-month imprisonment to those who fail to comply with a registration order issued by the privacy commissioner, or provide false information to the PCO, Mr Tang said.

He said a consultation paper would be issued later but gave no timetable.

The PCO, which investigates violations against Hong Kong data privacy ordinance, received 919 complaints for the year to March, up slightly from 906 a year earlier.

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