Integrity Focus

The ICAC yesterday (May 8) charged a director of an aesthetic medical centre for allegedly deceiving a shareholder into investing a total of $5.8 million in its business by inflating expenses in purchasing aesthetic medical equipment and renovations, and misappropriating company funds of over $3.1 million.

Lau Sin-wah, 31, director and shareholder of ScR Dr. Pro Holdings Limited (ScR Dr. Pro), faces three charges – one of theft, one of fraud and one of attempted fraud, contrary to sections 9 and 16A (1) of the Theft Ordinance, and section 159G of the Crimes Ordinance.

The defendant was released on ICAC bail, pending her appearance at the Eastern Magistrates’ Courts next Monday (May 12) for mention. The prosecution will later apply to transfer the case to the District Court for plea.

The offences occurred between May and September 2022. During the period, the defendant, who was an artist, was starting up an aesthetic medical business with a woman. Upon the invitation of the defendant, another artist agreed to invest $5 million in the business and became one of the shareholders of ScR Dr. Pro. The defendant and the woman, both directors of the company, were responsible for its operation, including setting up an aesthetic medical centre.

Two of the charges allege that the defendant had stolen over $3.1 million invested by the artist-and-shareholder in ScR Dr. Pro; and falsely represented to the latter that various sums totalling over $3 million had been properly used in ScR Dr. Pro for purchasing aesthetic medical equipment, and with intent to defraud, induced the latter not to demand return of her investment.

The remaining charge alleges that the defendant had falsely represented to the artist-and-shareholder that ScR Dr. Pro had incurred renovation expenses of $1.68 million, leading to use up of the company’s funds, and attempted to deceive the latter into making a further payment of $800,000 for advertisement expenses.

The ICAC investigation arose from a corruption complaint. Enquiries revealed that various receipts in relation to the expenses claimed to be used in purchasing aesthetic medical equipment and renovation of the centre were inflated. It was also suspected that company funds of ScR Dr. Pro misappropriated by the defendant were used for personal purposes by herself and her family members.