Integrity Focus

A couple and a relative of them were charged by the ICAC today (November 22) with fraud and conspiracy to defraud after a corruption investigation revealed that the trio allegedly made false representations about their injuries in traffic accidents to deceive the Social Welfare Department (SWD) into granting them Traffic Accident Victim Assistance (TAVA) payments totalling about $600,000 and to defraud five insurers into releasing medical compensation of over $310,000 to the wife.

The defendants are Chong Siu-fong, 40, beauty consultant; her husband Yeung Ping-wai, 41, part-time chef; and her elder sister’s spouse Chan Hok-yan, 44, unemployed. They were released on ICAC bail, pending their appearance at Eastern Magistrates’ Courts on Friday (November 24) for plea in two separate cases.

The trio face four counts of fraud, contrary to section 16A of the Theft Ordinance. Chong and Chan jointly face six further counts of conspiracy to defraud, contrary to the Common Law. The offences took place between July 2020 and July 2022.

The first case involved defrauding the SWD of TAVA payments. Immediate financial assistance was provided to traffic accident victims under the relevant scheme where applicants were required to submit application forms and sick leave certificates to the SWD.

It is alleged that the three defendants claimed that they were injured in three traffic accidents. They allegedly falsely represented to the SWD that the information in the TAVA application forms were true and sick leave certificates were granted to them after the traffic accidents and, with intent to defraud, they induced the SWD to grant them four TAVA payments totalling about $600,000.

The second case involved insurance compensation fraud. At the material time, Chong’s employer engaged AIA International Limited (AIA) to provide group medical insurance for its staff. Meanwhile, Chong personally took out various medical and accident insurance policies with AIA and four other insurers, namely Cigna Worldwide General Insurance Company Limited, Prudential Hong Kong Limited, FWD Life Insurance Company (Bermuda) Limited, and MSIG Insurance (Hong Kong) Limited.

It is alleged that Chong and Chan conspired together to defraud the five insurers by falsely representing that Chong was injured in one of the three traffic accidents mentioned above, so as to induce four of the insurers to approve Chong’s claim applications and released medical compensation totalling over $310,000 to her.

The ICAC investigation arose from a corruption complaint. Enquiries revealed that when the trio filed their applications with the SWD and the five insurers, they allegedly submitted false sick leave certificates, and falsely represented that they had no earnings and had not made other claims in respect of the traffic accidents concerned. Enquiries also revealed that one of the traffic accidents was fabricated.

The SWD and the five insurers have rendered full assistance to the ICAC during its investigation into the cases.