Financial regulators yesterday declared the financial position of Yamaichi Group's Hong Kong units sound, but added they would continue to monitor the situation.
Yamaichi has four operations in Hong Kong - Yamaichi International, Yamaichi Securities, Yamaichi Futures and Yamaichi International Nominees.
Hong Kong Monetary Authority deputy chief executive David Carse said he was satisfied with the financial situation of Yamaichi International, which has a deposit-taking licence in the SAR.
'It is highly liquid and can meet its liabilities to customers. We see no reason to close it down,' he said.
He said the authority and the Securities and Futures Commission (SFC) had taken measures to safeguard the local assets of the Japanese firm's Hong Kong units to ensure they could meet the liabilities of both local and Japanese clients.
He said the authority would work with the central Bank of Japan and Japanese Minister of Finance Hiroshi Mitsuzuka to handle the issue.