HK-listed Geotech plunges as UK, US sanction Southeast Asian scam networks

Geotech Holdings

16/10/2025 09:24

** Shares of construction contractor Geotech Holdings 1707.HK plunge as much as 26.9% to HK$0.057, their lowest level since June 2024

** Stock is the second biggest percentage loser on the Hong Kong bourse

** Britain and the United States on Tuesday sanctioned a Southeast Asia-based multinational network accused of operating large-scale online 'scam centres' that used trafficked workers to defraud victims around the world, including Chinese-Cambodian tycoon Chen Zhi for online scams

** Geotech said late on Wednesday it noted its controlling shareholder Chen Zhi and the company have been subject to certain sanctions

** Says none of the company or its subsidiaries, or their directors are involved in alleged activities which led to the sanctions, and Chen is no longer a staff of the group and has no role in the Group

** "The company preliminarily expects that the sanctions do not have any material adverse impact on the business operations of the group," Co said

** Says it is actively seeking legal advice

 (Reporting by Donny Kwok. Editing by Jane Merriman)

 ((donny.kwok@thomsonreuters.com))