Kaki Sham

Kaki Sham, a term primarily used in Hong Kong, refers to a type of "paper company" or "shell company." These companies are typically registered with minimal or no real business operations and are often used for illicit purposes such as money laundering, tax evasion, or concealing assets. The term carries a negative connotation and implies deceptive or illegal practices. The phrase literally translates from Cantonese as "empty shell." Kaki Sham companies are generally characterized by lacking physical presence, employees, or substantial assets. Due diligence processes in Hong Kong often specifically target identifying and investigating suspected Kaki Sham entities.