Recent ICAC Cases

07
Oct 2020
Duo charged with bribery over $1.3m air-conditioning works of hotel

A former director of a hotel and the proprietor of a works contractor were charged by the ICAC yesterday (October 6) with bribery involving illegal rebates of over $200,000 for securing air-conditioning works and a maintenance term contract of the hotel worth totalling over $1.3 million.

Fan Kar-chi, 43, former director of engineering of Crowne Plaza Hong Kong Causeway Bay (Crowne Plaza), and Wong Man-kin, 46, sole proprietor of SY Engineering And Repair Limited (SY Engineering), jointly face two counts of conspiracy for an agent to accept an advantage, contrary to Section 9(1)(b) of the Prevention of Bribery Ordinance (POBO) and Section 159A of the Crimes Ordinance.

Fan further faces one count of agent soliciting an advantage, contrary to Section 9(1)(b) of the POBO, while Wong alone faces two other charges of offering advantage to an agent, contrary to Section 9(2)(b) of the POBO.

The defendants will appear in the Eastern Magistrates’ Courts on Friday (October 9) for plea.

At the material time, Fan was the director of engineering of Crowne Plaza. He was responsible for overseeing all engineering works of Crowne Plaza, as well as recommending contractors to the hotel and endorsing works performed by them. Wong was the sole proprietor of SY Engineering, an air-conditioning system maintenance contractor of Crowne Plaza introduced by Fan.

The alleged offences took place between July 27, 2018 and June 10, 2019, during which Fan handled seven repair and replacement work orders of primary air units (PAUs) and air handling units (AHUs) of Crowne Plaza worth totalling over $473,000, and an air-conditioning maintenance term contract worth over $840,000 for the hotel.

One of the charges alleges that Fan and Wong conspired together for Fan to, without lawful authority or reasonable excuse, accept illegal rebates consisting of a certain percentage of the profits earned by SY Engineering in four of the aforesaid repair and replacement work orders of PAUs and AHUs as an inducement to or reward for Fan showing or having shown favour to SY Engineering in relation to his principal’s affairs or business.

It is alleged that the illegal rebates amounted to over $56,000.

Two other charges allege that Wong, without lawful authority or reasonable excuse, offered illegal rebates consisting of approximately $24,000 and $40,000 to Fan for the same purpose.

The illegal rebates allegedly represented 50 per cent of the profits earned by SY Engineering in relation to three other abovementioned repair and replacement work orders of PAUs and AHUs.

Another charge alleges that Fan and Wong conspired together for Fan to, without lawful authority or reasonable excuse, accept a monthly payment of approximately $10,000 for the same purpose.

Fan had allegedly accepted monthly payments totalling $55,000 for assisting SY Engineering to secure the aforesaid air-conditioning maintenance term contract.

The remaining charge alleges that Fan solicited an illegal rebate consisting of $27,000 from Wong in relation to the term contract for the same purpose.

Crowne Plaza has rendered full assistance to the ICAC during its investigation into the case.

The defendants have been released on ICAC bail, pending their court appearance on Friday.

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