Integrity Focus

A former Adjunct Associate Professor of the Hong Kong University of Science and Technology (HKUST) wanted by the ICAC was arrested in Poland in late April. Earlier on, a warrant for the arrest of the former Adjunct Associate Professor for allegedly conspiring with two others to conceal his interest in two suppliers in relation to various procurements that involved payments totalling about $4 million was issued by a Magistrate.

Yeung Lam-lung, 59, former Adjunct Associate Professor of the Department of Chemistry of HKUST, faces a total of 17 charges – three of conspiracy to defraud, contrary to Common Law; and 14 of fraud, contrary to Section 16A(1) of the Theft Ordinance.

In late April, the ICAC was informed by the Interpol that Yeung Lam-lung was detained by the Poland authorities in an international airport of Poland. Upon the ICAC’s request, the Department of Justice (DoJ) made an application to Poland for the provisional arrest of Yeung Lam-lung pursuant to the United Nations Convention against Corruption (UNCAC). A formal request for the surrender of Yeung Lam-lung is under preparation and will be made. The UNCAC has been ratified by the People’s Republic of China and the Republic of Poland, and is also applicable to the Hong Kong Special Administrative Region.

The ICAC is grateful to the DoJ and Poland authorities for their valuable assistance in securing the arrest of Yeung Lam-lung.

The alleged offences took place between September 2011 and February 2019. During the period, Yeung Lam-lung conducted 17 tendering and procurement exercises for the HKUST and its subsidiary to purchase various laboratory equipment and testing services from Chun Fo (Asia) Pharmaceutical Co., Limited (CFPL) and PIT Limited (PITL) in which Yeung Lam-lung had direct or indirect financial interests.

In accordance with the regulations of the HKUST, Yeung Lam-lung was required to declare his conflict of interest with any suppliers before engaging them. Likewise, suppliers were required to declare whether any HKUST staff have any interest in them.

In late 2011, Yeung Siu-on became PITL’s sole director and shareholder. When CFPL was incorporated in mid-2012, Yeung Siu-on was its sole director and shareholder while Au Yeung Siu-fung took over the position in late 2012.

The conspiracy charges allege that Yeung Lam-lung had conspired with Au Yeung Siu-fung or Yeung Siu-on to defraud the HKUST by concealing Yeung Lam-lung’s interest in CFPL and PITL while he had a duty to disclose any conflict of interest to the university, but instead, he induced it to engage CFPL and PITL in three of the 17 tendering and procurement exercises, and caused it to settle invoices of the two suppliers in full.

The remaining charges allege that Yeung Lam-lung, either with Au Yeung Siu-fung or Yeung Siu-on, induced the HKUST or its subsidiary to engage CFPL or PITL in the other 14 tendering and procurement exercises by concealing his interest in the two suppliers.

The 17 tendering and procurement exercises involved payments totalling about $4 million.

The case arose from a corruption complaint filed with the ICAC. Upon completion of the investigation, legal advice was sought from the DoJ, which advised charging the trio. As Yeung Lam-lung had already left Hong Kong when Yeung Siu-on and Au Yeung Siu-fung were charged in September 2022, a warrant for the arrest of Yeung Lam-lung was issued by a Magistrate in October 2022 upon the application made by the ICAC. In August 2023, Yeung Lam-lung was placed on the Interpol Red Notice for his apprehension.

In October 2023, Yeung Siu-on was sentenced to 28 months’ imprisonment at the District Court after pleading guilty to 11 counts of conspiracy to defraud and fraud. Au Yeung Siu-fung, who pleaded not guilty to three counts of conspiracy to defraud and fraud, had his case adjourned to December 19 for verdict.

HKUST had rendered full assistance to the ICAC during its investigation into the case.