Paypal HK has reportedly stopped processing payments for the League of Social Democrats (LSD), according to reports from democracy groups in Hong Kong. The pro-democracy group said it was “stunned” to hear the news and now has “one less way [to collect donations].”
Paypal has reportedly stopped serving the Social Democratic League of Hong Kong.
Just recently, news publication Daily Wirediscovered a draft Paypal Terms of Service (ToS) agreementthat has not yet been implemented. According to that ToS, Paypal could fine users $2,500 if they spread “misinformation” online, and the fine could be deducted from their Paypal account. However, PayPal said the ToS was sent out in error and stressed that the company does not plan to fine users; on October 8, National Reviewspoke with a PayPal spokespersonwho stated that the ToS notice was sent out in error.
“The AUP notice recently went out with an error containing incorrect information,” a Paypal spokesperson told National Review.” Paypal does not punish people for incorrect information and this statement was never intended to be inserted into our policies. Our team is working to correct our policy page. We are sorry for any confusion this has caused.”
The issue between the League of Social Democrats (LSD) and Paypal HK wasreportedandcovered coveredbyPeter Lee, a contributor to the Hong Kong Free Press (HKFP), wrotethat LSD was “one of the remaining active pro-democracy groups in Hong Kong.”
As the Covid-19 epidemic began, China made it more difficult for pro-democracy groups in HK to operate.
China introduced theNational Security Law (NSL)in 2020, making it considerably easier to prosecute protesters seeking to strengthen Hong Kong’s autonomy.The HKFP report further notes that democracy groups like LSD are also unable to use street booths to collect donations Explaining that it was no longer possible, Chow Ka-fat, LSD’s external vice president, told HKFP that Paypal had simply terminated the payment service due to “excessive risk.”
However, Paypal did not clarify what the “excessive risk” was, Chow told the publication.Chow detailed that while the organization cannot accept donations from the Paypal HK account, it can withdraw funds from the application Chow detailed that while the organization cannot accept donations from its Paypal HK account, it is possible to withdraw funds from the application. Chow told the news outlet, “Even when doing business, it seems that companies have to think in advance who they are dealing with.”
The LSD vice president added,
There used to be such business freedom, but not anymore.
Hong Kong pro-democracy groups have had problems in the past with payment providers, especially Chinese banking institutions; in June 2019, bitcoin (BTC) was trading at a premium in Hong Kong during the demonstrations. A study published by Amun researchers the following year showed that stablecoins were being used in Hong Kong as a “vehicle for capital control flights.”
In response to Chow and LSD’s account, HKFP’s Lee said the magazine contacted Paypal HK for an explanation, but Lee’s report received no response from the payment provider. On October 11, the day before Lee’s report, the Hong Kong Democratic Societyreportedthat LSD member Tsang Kin-sing was fined HK$1,500 for littering after calling for the return of public gatherings outside government buildings.
What do you think about reports that Paypal HK has stopped providing services to the Hong Kong Federation of Social Democratic Parties? Let us know your thoughts on this matter in the comments section below.
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