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Jun 2025Operations director of newspaper’s advertising department charged by ICAC convicted of soliciting bribes from subordinatesA former director of operations of the advertising department of a newspaper company, charged by the ICAC, was today (June 26) convicted at the District Court of eight counts of bribery for soliciting bribes from four subordinates and accepting about $88,000 in total from two of them after their receipt of commissions from the company. The two subordinates earlier pleaded guilty to having offered bribes.Daniel Wu Hang-chi, also known as Wu Che-hang, 44, former director of operations of the advertising department of Hong Kong Commercial Daily (HKCD), was convicted after trial by Judge Mr Clement Lee Hing-nin of eight charges – three of conspiracy for an agent to solicit an advantage and five of agent accepting an advantage, contrary to section 9(1)(a) of the Prevention of Bribery Ordinance (POBO) and section 159A of the Crimes Ordinance.Two subordinates of Wu, namely Lee Kwok-wai, 51, former business representatives of the advertising department of HKCD; and Ngo Kam-fai, 45, business representatives of the advertising department of HKCD, earlier pleaded guilty to six charges – five of offering an advantage to an agent and one of conspiracy for an agent to solicit an advantage, contrary to sections 9(1)(a) and 9(2)(a) of the POBO and section 159A of the Crimes Ordinance.Judge Mr Clement Lee Hing-nin adjourned the case to July 3 for sentence. Wu was remanded in custody of the Correctional Services Department, while Lee and Ngo were granted bail.Between September 2019 and February 2022, Wu was the director of operations of HKCD’s advertising department. He was responsible for overseeing the operations of the department, supervising business representatives, including Lee and Ngo, and assisting his subordinates to secure event sponsorships. Business representatives were entitled to 10 per cent of the sponsorships they secured for HKCD’s events as commissions, and they were required to submit to HKCD relevant documents via Wu for the calculation and release of the commissions.Wu would receive bonuses after each event or at the end of each year, subject to the profits made, but he was not entitled to share the commissions of his subordinates. Meanwhile, HKCD did not allow its staff to solicit or accept any advantage in relation to its business.The court heard that at the material time, Lee, Ngo and two other business representatives, who were responsible for sourcing sponsorships for four events organised by HKCD, had secured various sponsorships totalling about $3.8 million. They subsequently received commissions totalling about $380,000 released by HKCD.The ICAC investigation arose from a corruption complaint. Enquiries revealed that Wu accompanied Lee, Ngo and the two other business representatives to meet various sponsors on his own accord and solicited bribes from them for his assistance in securing those event sponsorships. The bribes solicited by Wu ranged from 30 to 50 per cent of the commissions payable to each of the four subordinates in relation to the events.Upon Wu’s request, Lee offered four bribes totalling about $83,000, and Ngo a bribe of $5,000, to Wu. The two other business representatives turned down Wu’s solicitation.HKCD rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by Senior Public Prosecutor Douglas Lau, assisted by ICAC officer Ricky Tsui. 20
Jun 2025Two more individuals charged by ICAC for roles in $3.2m ‘ghost worker’ payroll fraudThe ICAC today (June 20) further charged a supermarket chain manager and an employee of a contractor with conspiracy to defraud upon receipt of further legal advice from the Department of Justice (DoJ), following defendants, who were charged earlier, indicated to plead guilty and render assistance to the prosecution. An employee and three contractor staff of the supermarket were previously charged for allegedly conspiring together to deceive the supermarket into releasing wages totalling over $3.2 million in a span of two years by falsifying attendance records of “ghost workers”.In October last year, four defendants were charged with one count of conspiracy to defraud, contrary to Common Law. They were Lau Kin-pong, former senior supervisor at eCommercial Distribution Centre (EDC) of PARKnSHOP (HK) Limited (PARKnSHOP); Tai Kin-man, former assistant manager of Earnward Warehouse Limited (Earnward Warehouse), a contractor of PARKnSHOP; and Wong Wai-fung and Wong Pak-kan, both former workers employed by Logistics Network Management Limited (Logistics Network), another contractor of PARKnSHOP.Upon receipt of further advice from the DoJ, following the guilty plea indications of some of the defendants and their assistance rendered to the prosecution, the ICAC today further charged Cheng Cheuk-kei, 42, former warehouse operations manager at EDC of PARKnSHOP; and Lau Tsz-pan, 27, former worker of Logistics Network, with one count of conspiracy to defraud.The duo were released on ICAC bail, pending their appearance at the Shatin Magistrates’ Courts next Tuesday (June 24). The prosecution will apply for transferring the case to the District Court.EDC of PARKnSHOP was responsible for sorting online orders and packing goods for distribution to customers. At the material time, Cheng was a warehouse operations manager at EDC; Lau was his subordinate senior supervisor responsible for administrative duties of EDC.PARKnSHOP hired Logistics Network to provide workers for EDC, including Lau, Wong Wai-fung and Wong Pak-kan. Workers were required to clock their time cards when reporting duty and getting off work, and to sign on a daily attendance sheet to verify their on-duty time. While the operation of Logistics Network was supervised by Earnward Warehouse, its assistant manager, Tai, was responsible for verifying attendance of workers.The charge alleges that between June 2019 and April 2021, Cheng and Lau, who were newly charged, had allegedly conspired together with the four defendants previously charged to defraud PARKnSHOP by falsely representing to PARKnSHOP the attendance records and workings hours of 13 workers of Logistics Network, thereby inducing PARKnSHOP to release wages of over $3.2 million to the workers.The ICAC investigation arose from a corruption complaint. Enquiries revealed that the defendants had used a clocking machine of the same model used by EDC to fabricate the attendance records of the 13 “ghost workers”, and equally shared the gains after deceiving the wages. At the material time, the “ghost workers” had never worked at EDC and they had not received any wages.PARKnSHOP, Earnward Warehouse and Logistics Network have rendered full assistance to the ICAC during its investigation into the case. 18
Jun 2025Hostel manager charged by the ICAC for misappropriating payments of over $900,000A hostel manager was charged by the ICAC yesterday (June 17) for allegedly stealing payments of over $900,000 by altering booking records of the hostel on various occasions over a span of two years and covering up his misappropriation by making false representation that a group client owed payments to the hostel.Li Kei-tat, 39, former assistant lodge manager of Caritas-Hong Kong (Caritas), faces eight charges – one of agent using document with intent to deceive his principal, contrary to section 9(3) of the Prevention of Bribery Ordinance; six of theft and one of fraud, contrary to sections 9 and 16A of the Theft Ordinance respectively.The defendant was released on ICAC bail, pending his appearance at the Eastern Magistrates’ Courts tomorrow (June 19) for mention. The prosecution will apply to transfer the case to the District Court for plea.The ICAC investigation stemmed from a corruption complaint. At the material time, i.e. between July 2021 and June 2023, the defendant was responsible for serving guests at the front desk of Caritas Oswald Cheung International House, including collecting payment and inputting the relevant booking information onto the computer system. Caritas found in early 2023 that payments from guests totalling over $1.6 million were unsettled. An internal investigation was launched and the defendant was required to submit an incident report.One of the charges alleges that the defendant had submitted an incident report containing false statement at the Caritas internal investigation, claiming that his mobile phone number was the contact number of a representative of an organisation and that the organisation owed Caritas a total of over $1.6 million in payments.The theft charges allege that the defendant had stolen six payments totalling about $880,000 belonging to Caritas. The remaining charge alleges that the defendant, with intent to defraud, induced a guest to pay him over $33,000 by falsely representing that he would transfer to Caritas the payment made by the guest.ICAC enquiries revealed that the defendant had allegedly altered the booking records of the hostel on various occasions so that he could steal the cash payments made by guests.Caritas rendered full assistance to the ICAC during its investigation into the case. 11
Jun 2025ICAC graft probe cracks $4.6m dummy agents insurance commissions fraud case, leading to four jailed for 12 to 32 monthsAn ICAC corruption investigation earlier revealed that an assistant manager of an insurance company had recruited dummy agents to defraud the insurer of commissions and payments totalling about $4.6 million, by taking out insurance policies with false particulars, while three downline dummy agents assisted in handling crime proceeds of over $2.3 million. The four defendants were today (June 11) sentenced at the District Court to jail terms from 12 months to 32 months.Chau Yui-kwan, 35, former assistant unit manager of China Taiping Life Insurance (Hong Kong) Company Limited (Taiping Life (HK)), was sentenced to 32 months’ imprisonment. He earlier pleaded guilty to nine counts of fraud, contrary to section 16A(1) of the Theft Ordinance.Three downline dummy agents of Chau, namely Choi Pui-ka, Chang Kiu-sum and Sit Siu-hang, aged between 31 and 33, all former business managers of Taiping Life (HK), received jail terms of 12 months, 14 months and 16 months respectively. The trio had each pleaded guilty to one count of dealing with property known or believed to represent proceeds of an indictable offence (commonly known as money laundering), contrary to section 25(1) of the Organised and Serious Crimes Ordinance.In sentencing, Judge Mr Ernest Lin Kam-hung noted that the defendants, in their capacity as licensed insurance agents, ought to uphold integrity. They had, however, orchestrated a premeditated scheme which lasted a long time and abused the trust placed in them by their employer for personal gains through fraudulent means, constituting a serious breach of trust. The judge took a starting point of imprisonment ranging from 21 months to 48 months, and reduced their jail terms to 12 months to 32 months respectively, having considered their guilty pleas and various mitigating factors.The court heard that at the material time, Chau was an assistant unit manager of Taiping Life (HK), while his three co-defendants were said to be downline insurance agents of Chau. Taiping Life (HK) required all its agents to explain the terms and conditions of relevant insurance policies to their clients in person when selling an insurance product.Taiping Life (HK) would issue commissions, bonuses and other payments to the handling agent and the team of his/her upline managers upon the approval of a policy application and receipt of the premium.The ICAC investigation stemmed from a corruption complaint. Enquiries revealed that between February and December 2021, Chau had falsely represented to Taiping Life (HK) that the three co-defendants and another insurance agent were the handling agents or joint agents of nine insurance policies. Taiping Life (HK) subsequently underwrote and issued those policies, releasing commissions and other payments totalling about $4.6 million.Enquiries found that Chau had requested the three co-defendants to return to him most of the commissions and other payments released by Taiping Life (HK). The trio then laundered over $2.3 million in crime proceeds in the scheme through three bank accounts.The ICAC investigation revealed that Chau recruited the three co-defendants and another individual, posing as dummy agents, to submit nine insurance policy applications in the present case to Taiping Life (HK). Some of the policyholders had never signed on the application forms concerned and they had never paid the relevant premiums.Taiping Life (HK) rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by Senior Public Prosecutor Steven Liu, assisted by ICAC officer Gary Cheung. 10
Jun 2025Ex-manager of beverage company charged by ICAC gets 33 months’ jail for concealing conflicting interest in $1.9m ads, crime proceeds confiscatedA former marketing manager of a beverage company, charged by the ICAC and convicted after trial, was sentenced to 33 months’ imprisonment today (June 10) at the District Court for deceiving the company into awarding various outdoor advertisement purchase orders worth totalling about $1.9 million by concealing his control of a vendor, and conspiring with a subordinate to use false quotations and inspection reports to mislead the company. The convicted defendant was confiscated $600,000 in crime proceeds.Chan Wing-fung, 41, former manager of marketing department of Vitasoy International Holdings Limited (Vitasoy), was earlier found guilty after trial of three charges – two of conspiracy for agents to use documents with intent to deceive his principal, contrary to section 9(3) of the Prevention of Bribery Ordinance and section 159A of the Crimes Ordinance; and one of fraud, contrary to section 16A of the Theft Ordinance.In sentencing, Deputy Judge Ms Ivy Chui Yee-mei reprimanded Chan for committing a premeditated crime and intentionally failing to declare his conflict of interest to the company. The Judge added that in the present case which spanned over three and a half years, Chan immediately undermined company interest for personal gain of over $600,000, warranting a custodial sentence.The Judge today allowed the prosecution’s application in relation to one of the charges and ordered to confiscate crime proceeds of $600,000 of Chan, being the profits he made in the present case. Chan was ordered to satisfy the confiscation order within six months, failing which he will have to serve an additional term of imprisonment of 19 months.Co-defendant Keung Tze-ping, 50, former outdoor visibility officer of marketing department of Vitasoy, earlier pleaded guilty to the two counts of conspiracy for agents to use documents with intent to deceive her principal. She was today given a jail term of nine months, suspended for two years.Among other duties at the material time, Chan was responsible for approving the engagement of vendors for the merchandising team and outdoor advertising team of Vitasoy’s marketing department while Keung would assist Chan to obtain quotations from vendors. They were required to obtain at least two or three quotations, subject to the amount of a procurement exercise involved. As stipulated in the staff handbook of Vitasoy, all staff members were required to disclose any possible conflict of interest to Vitasoy and seek permission in writing prior to participating in any business which would possibly cause a conflict of interest.The ICAC investigation arose from a corruption complaint filed by Vitasoy following an internal audit conducted by the company. Enquiries revealed that in January 2016, Chan instructed his girlfriend to establish Why Creative Graphic Design House (Why Creative) to take up the orders from Vitasoy. Chan had never declared to Vitasoy his interest in Why Creative despite the fact that Why Creative was controlled by him.Between January 2016 and early October 2019, Chan awarded 39 outdoor advertisement purchase orders of Vitasoy which worth totalling about $1.9 million to Why Creative. Chan’s girlfriend transferred 40 per cent of the profit totalling over $600,000 to Chan according to their agreement.The court also heard that Chan had approved to pay a monthly fee of $36,000 to a vendor without the authorisation of his supervisor, falsely claiming that that the inspections were arranged on Vitasoy’s outdoor advertisements.When being asked by Vitasoy to submit the relevant quotations of the three vendors, including Why Creative, and the inspection reports, Chan conspired with subordinates, including Keung, to forge 30 sets of quotation documents purportedly issued by four vendors for Vitasoy’s examination, so as to mislead the company that the procurements had complied with the relevant policy. Meanwhile, they fabricated 38 sets of outdoor advertisement inspection reports to mislead Vitasoy that inspections were completed by the relevant vendor.ICAC investigation revealed that the four vendors had never issued the quotations concerned and the relevant vendor had not conducted the inspections mentioned in the inspection reports.Vitasoy has rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by prosecuting counsel Sabrina See, assisted by ICAC officer Leo Fung.
Jun 2025Operations director of newspaper’s advertising department charged by ICAC convicted of soliciting bribes from subordinatesA former director of operations of the advertising department of a newspaper company, charged by the ICAC, was today (June 26) convicted at the District Court of eight counts of bribery for soliciting bribes from four subordinates and accepting about $88,000 in total from two of them after their receipt of commissions from the company. The two subordinates earlier pleaded guilty to having offered bribes.Daniel Wu Hang-chi, also known as Wu Che-hang, 44, former director of operations of the advertising department of Hong Kong Commercial Daily (HKCD), was convicted after trial by Judge Mr Clement Lee Hing-nin of eight charges – three of conspiracy for an agent to solicit an advantage and five of agent accepting an advantage, contrary to section 9(1)(a) of the Prevention of Bribery Ordinance (POBO) and section 159A of the Crimes Ordinance.Two subordinates of Wu, namely Lee Kwok-wai, 51, former business representatives of the advertising department of HKCD; and Ngo Kam-fai, 45, business representatives of the advertising department of HKCD, earlier pleaded guilty to six charges – five of offering an advantage to an agent and one of conspiracy for an agent to solicit an advantage, contrary to sections 9(1)(a) and 9(2)(a) of the POBO and section 159A of the Crimes Ordinance.Judge Mr Clement Lee Hing-nin adjourned the case to July 3 for sentence. Wu was remanded in custody of the Correctional Services Department, while Lee and Ngo were granted bail.Between September 2019 and February 2022, Wu was the director of operations of HKCD’s advertising department. He was responsible for overseeing the operations of the department, supervising business representatives, including Lee and Ngo, and assisting his subordinates to secure event sponsorships. Business representatives were entitled to 10 per cent of the sponsorships they secured for HKCD’s events as commissions, and they were required to submit to HKCD relevant documents via Wu for the calculation and release of the commissions.Wu would receive bonuses after each event or at the end of each year, subject to the profits made, but he was not entitled to share the commissions of his subordinates. Meanwhile, HKCD did not allow its staff to solicit or accept any advantage in relation to its business.The court heard that at the material time, Lee, Ngo and two other business representatives, who were responsible for sourcing sponsorships for four events organised by HKCD, had secured various sponsorships totalling about $3.8 million. They subsequently received commissions totalling about $380,000 released by HKCD.The ICAC investigation arose from a corruption complaint. Enquiries revealed that Wu accompanied Lee, Ngo and the two other business representatives to meet various sponsors on his own accord and solicited bribes from them for his assistance in securing those event sponsorships. The bribes solicited by Wu ranged from 30 to 50 per cent of the commissions payable to each of the four subordinates in relation to the events.Upon Wu’s request, Lee offered four bribes totalling about $83,000, and Ngo a bribe of $5,000, to Wu. The two other business representatives turned down Wu’s solicitation.HKCD rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by Senior Public Prosecutor Douglas Lau, assisted by ICAC officer Ricky Tsui. 20
Jun 2025Two more individuals charged by ICAC for roles in $3.2m ‘ghost worker’ payroll fraudThe ICAC today (June 20) further charged a supermarket chain manager and an employee of a contractor with conspiracy to defraud upon receipt of further legal advice from the Department of Justice (DoJ), following defendants, who were charged earlier, indicated to plead guilty and render assistance to the prosecution. An employee and three contractor staff of the supermarket were previously charged for allegedly conspiring together to deceive the supermarket into releasing wages totalling over $3.2 million in a span of two years by falsifying attendance records of “ghost workers”.In October last year, four defendants were charged with one count of conspiracy to defraud, contrary to Common Law. They were Lau Kin-pong, former senior supervisor at eCommercial Distribution Centre (EDC) of PARKnSHOP (HK) Limited (PARKnSHOP); Tai Kin-man, former assistant manager of Earnward Warehouse Limited (Earnward Warehouse), a contractor of PARKnSHOP; and Wong Wai-fung and Wong Pak-kan, both former workers employed by Logistics Network Management Limited (Logistics Network), another contractor of PARKnSHOP.Upon receipt of further advice from the DoJ, following the guilty plea indications of some of the defendants and their assistance rendered to the prosecution, the ICAC today further charged Cheng Cheuk-kei, 42, former warehouse operations manager at EDC of PARKnSHOP; and Lau Tsz-pan, 27, former worker of Logistics Network, with one count of conspiracy to defraud.The duo were released on ICAC bail, pending their appearance at the Shatin Magistrates’ Courts next Tuesday (June 24). The prosecution will apply for transferring the case to the District Court.EDC of PARKnSHOP was responsible for sorting online orders and packing goods for distribution to customers. At the material time, Cheng was a warehouse operations manager at EDC; Lau was his subordinate senior supervisor responsible for administrative duties of EDC.PARKnSHOP hired Logistics Network to provide workers for EDC, including Lau, Wong Wai-fung and Wong Pak-kan. Workers were required to clock their time cards when reporting duty and getting off work, and to sign on a daily attendance sheet to verify their on-duty time. While the operation of Logistics Network was supervised by Earnward Warehouse, its assistant manager, Tai, was responsible for verifying attendance of workers.The charge alleges that between June 2019 and April 2021, Cheng and Lau, who were newly charged, had allegedly conspired together with the four defendants previously charged to defraud PARKnSHOP by falsely representing to PARKnSHOP the attendance records and workings hours of 13 workers of Logistics Network, thereby inducing PARKnSHOP to release wages of over $3.2 million to the workers.The ICAC investigation arose from a corruption complaint. Enquiries revealed that the defendants had used a clocking machine of the same model used by EDC to fabricate the attendance records of the 13 “ghost workers”, and equally shared the gains after deceiving the wages. At the material time, the “ghost workers” had never worked at EDC and they had not received any wages.PARKnSHOP, Earnward Warehouse and Logistics Network have rendered full assistance to the ICAC during its investigation into the case. 18
Jun 2025Hostel manager charged by the ICAC for misappropriating payments of over $900,000A hostel manager was charged by the ICAC yesterday (June 17) for allegedly stealing payments of over $900,000 by altering booking records of the hostel on various occasions over a span of two years and covering up his misappropriation by making false representation that a group client owed payments to the hostel.Li Kei-tat, 39, former assistant lodge manager of Caritas-Hong Kong (Caritas), faces eight charges – one of agent using document with intent to deceive his principal, contrary to section 9(3) of the Prevention of Bribery Ordinance; six of theft and one of fraud, contrary to sections 9 and 16A of the Theft Ordinance respectively.The defendant was released on ICAC bail, pending his appearance at the Eastern Magistrates’ Courts tomorrow (June 19) for mention. The prosecution will apply to transfer the case to the District Court for plea.The ICAC investigation stemmed from a corruption complaint. At the material time, i.e. between July 2021 and June 2023, the defendant was responsible for serving guests at the front desk of Caritas Oswald Cheung International House, including collecting payment and inputting the relevant booking information onto the computer system. Caritas found in early 2023 that payments from guests totalling over $1.6 million were unsettled. An internal investigation was launched and the defendant was required to submit an incident report.One of the charges alleges that the defendant had submitted an incident report containing false statement at the Caritas internal investigation, claiming that his mobile phone number was the contact number of a representative of an organisation and that the organisation owed Caritas a total of over $1.6 million in payments.The theft charges allege that the defendant had stolen six payments totalling about $880,000 belonging to Caritas. The remaining charge alleges that the defendant, with intent to defraud, induced a guest to pay him over $33,000 by falsely representing that he would transfer to Caritas the payment made by the guest.ICAC enquiries revealed that the defendant had allegedly altered the booking records of the hostel on various occasions so that he could steal the cash payments made by guests.Caritas rendered full assistance to the ICAC during its investigation into the case. 11
Jun 2025ICAC graft probe cracks $4.6m dummy agents insurance commissions fraud case, leading to four jailed for 12 to 32 monthsAn ICAC corruption investigation earlier revealed that an assistant manager of an insurance company had recruited dummy agents to defraud the insurer of commissions and payments totalling about $4.6 million, by taking out insurance policies with false particulars, while three downline dummy agents assisted in handling crime proceeds of over $2.3 million. The four defendants were today (June 11) sentenced at the District Court to jail terms from 12 months to 32 months.Chau Yui-kwan, 35, former assistant unit manager of China Taiping Life Insurance (Hong Kong) Company Limited (Taiping Life (HK)), was sentenced to 32 months’ imprisonment. He earlier pleaded guilty to nine counts of fraud, contrary to section 16A(1) of the Theft Ordinance.Three downline dummy agents of Chau, namely Choi Pui-ka, Chang Kiu-sum and Sit Siu-hang, aged between 31 and 33, all former business managers of Taiping Life (HK), received jail terms of 12 months, 14 months and 16 months respectively. The trio had each pleaded guilty to one count of dealing with property known or believed to represent proceeds of an indictable offence (commonly known as money laundering), contrary to section 25(1) of the Organised and Serious Crimes Ordinance.In sentencing, Judge Mr Ernest Lin Kam-hung noted that the defendants, in their capacity as licensed insurance agents, ought to uphold integrity. They had, however, orchestrated a premeditated scheme which lasted a long time and abused the trust placed in them by their employer for personal gains through fraudulent means, constituting a serious breach of trust. The judge took a starting point of imprisonment ranging from 21 months to 48 months, and reduced their jail terms to 12 months to 32 months respectively, having considered their guilty pleas and various mitigating factors.The court heard that at the material time, Chau was an assistant unit manager of Taiping Life (HK), while his three co-defendants were said to be downline insurance agents of Chau. Taiping Life (HK) required all its agents to explain the terms and conditions of relevant insurance policies to their clients in person when selling an insurance product.Taiping Life (HK) would issue commissions, bonuses and other payments to the handling agent and the team of his/her upline managers upon the approval of a policy application and receipt of the premium.The ICAC investigation stemmed from a corruption complaint. Enquiries revealed that between February and December 2021, Chau had falsely represented to Taiping Life (HK) that the three co-defendants and another insurance agent were the handling agents or joint agents of nine insurance policies. Taiping Life (HK) subsequently underwrote and issued those policies, releasing commissions and other payments totalling about $4.6 million.Enquiries found that Chau had requested the three co-defendants to return to him most of the commissions and other payments released by Taiping Life (HK). The trio then laundered over $2.3 million in crime proceeds in the scheme through three bank accounts.The ICAC investigation revealed that Chau recruited the three co-defendants and another individual, posing as dummy agents, to submit nine insurance policy applications in the present case to Taiping Life (HK). Some of the policyholders had never signed on the application forms concerned and they had never paid the relevant premiums.Taiping Life (HK) rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by Senior Public Prosecutor Steven Liu, assisted by ICAC officer Gary Cheung. 10
Jun 2025Ex-manager of beverage company charged by ICAC gets 33 months’ jail for concealing conflicting interest in $1.9m ads, crime proceeds confiscatedA former marketing manager of a beverage company, charged by the ICAC and convicted after trial, was sentenced to 33 months’ imprisonment today (June 10) at the District Court for deceiving the company into awarding various outdoor advertisement purchase orders worth totalling about $1.9 million by concealing his control of a vendor, and conspiring with a subordinate to use false quotations and inspection reports to mislead the company. The convicted defendant was confiscated $600,000 in crime proceeds.Chan Wing-fung, 41, former manager of marketing department of Vitasoy International Holdings Limited (Vitasoy), was earlier found guilty after trial of three charges – two of conspiracy for agents to use documents with intent to deceive his principal, contrary to section 9(3) of the Prevention of Bribery Ordinance and section 159A of the Crimes Ordinance; and one of fraud, contrary to section 16A of the Theft Ordinance.In sentencing, Deputy Judge Ms Ivy Chui Yee-mei reprimanded Chan for committing a premeditated crime and intentionally failing to declare his conflict of interest to the company. The Judge added that in the present case which spanned over three and a half years, Chan immediately undermined company interest for personal gain of over $600,000, warranting a custodial sentence.The Judge today allowed the prosecution’s application in relation to one of the charges and ordered to confiscate crime proceeds of $600,000 of Chan, being the profits he made in the present case. Chan was ordered to satisfy the confiscation order within six months, failing which he will have to serve an additional term of imprisonment of 19 months.Co-defendant Keung Tze-ping, 50, former outdoor visibility officer of marketing department of Vitasoy, earlier pleaded guilty to the two counts of conspiracy for agents to use documents with intent to deceive her principal. She was today given a jail term of nine months, suspended for two years.Among other duties at the material time, Chan was responsible for approving the engagement of vendors for the merchandising team and outdoor advertising team of Vitasoy’s marketing department while Keung would assist Chan to obtain quotations from vendors. They were required to obtain at least two or three quotations, subject to the amount of a procurement exercise involved. As stipulated in the staff handbook of Vitasoy, all staff members were required to disclose any possible conflict of interest to Vitasoy and seek permission in writing prior to participating in any business which would possibly cause a conflict of interest.The ICAC investigation arose from a corruption complaint filed by Vitasoy following an internal audit conducted by the company. Enquiries revealed that in January 2016, Chan instructed his girlfriend to establish Why Creative Graphic Design House (Why Creative) to take up the orders from Vitasoy. Chan had never declared to Vitasoy his interest in Why Creative despite the fact that Why Creative was controlled by him.Between January 2016 and early October 2019, Chan awarded 39 outdoor advertisement purchase orders of Vitasoy which worth totalling about $1.9 million to Why Creative. Chan’s girlfriend transferred 40 per cent of the profit totalling over $600,000 to Chan according to their agreement.The court also heard that Chan had approved to pay a monthly fee of $36,000 to a vendor without the authorisation of his supervisor, falsely claiming that that the inspections were arranged on Vitasoy’s outdoor advertisements.When being asked by Vitasoy to submit the relevant quotations of the three vendors, including Why Creative, and the inspection reports, Chan conspired with subordinates, including Keung, to forge 30 sets of quotation documents purportedly issued by four vendors for Vitasoy’s examination, so as to mislead the company that the procurements had complied with the relevant policy. Meanwhile, they fabricated 38 sets of outdoor advertisement inspection reports to mislead Vitasoy that inspections were completed by the relevant vendor.ICAC investigation revealed that the four vendors had never issued the quotations concerned and the relevant vendor had not conducted the inspections mentioned in the inspection reports.Vitasoy has rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by prosecuting counsel Sabrina See, assisted by ICAC officer Leo Fung.