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Sep 2024Insurance agent charged by ICAC gets 10 months’ jail for swindling commissions over bogus policiesAn insurance agent, charged by ICAC, was today (September 25) sentenced to 10 months’ imprisonment at the Eastern Magistrates’ Courts for defrauding the company of commissions, bonuses and other payments totalling over $650,000 by providing false information in insurance policy applications.Lee Hon-yin, 28, former business manager of China Taiping Life Insurance (Hong Kong) Company Limited (China Taiping), earlier pleaded guilty to two counts of fraud, contrary to section 16A(1) of the Theft Ordinance. He was today sentenced by Principal Magistrate Mr Don So Man-lung to a jail term of 10 months.At the material time, the defendant was a business manager of China Taiping. China Taiping required all its agents to explain the terms and conditions of relevant insurance policies to their clients in-person when selling an insurance product. The company prohibited its agents from providing any false information about the policyholder and the identity of the handling agent. China Taiping would issue commissions, bonuses and other payments to the handling agent upon the approval of a policy application and receipt of the premium.The court heard that in July 2021, China Taiping received two insurance policy applications purportedly taken out by a client and sold by the defendant. Believing the information on the application forms was true and the applications were genuinely taken out by the client, China Taiping hence approved the applications and released the commissions, bonuses and other payments totalling over $650,000 to the defendant.The ICAC investigation arose from a corruption complaint in relation to the insurance policies concerned. Enquiries revealed that the client did not know the defendant. She did not apply for the above-mentioned insurance policies, nor did she pay premiums for the policies. Her personal information on the application forms was also false.Enquiries also revealed that after China Taiping had released the commissions, bonuses and other payments to the defendant, both insurance policies eventually lapsed due to default of payment on further premiums.China Taiping had rendered full assistance to the ICAC during its investigation into the case.Co-defendant Chau Yui-kwan, 34, former assistant unit manager of China Taiping, faced one count of forgery, contrary to section 71 of the Crimes Ordinance. The case was adjourned to November 6 for plea at the Eastern Magistrates’ Courts.The prosecution was today represented by Senior Public Prosecutor Steven Liu, assisted by ICAC officer Ryan Ku. 20
Sep 2024Woman charged by ICAC gets four weeks’ jail for offering RMB 2000 bribe to bank staff for reactivating accountA woman charged by the ICAC was today (September 20) sentenced to four weeks’ imprisonment at the West Kowloon Magistrates’ Courts after admitting that she had offered a bribe of RMB 2,000 to a bank employee for assistance in reactivating her company’s bank account.Li Rong, 38, director and shareholder of Zhong Sheng Technology (Hongkong) Co. Limited (Zhong Sheng Technology), today pleaded guilty to one count of offering an advantage to an agent, contrary to section 9(2)(a) of the Prevention of Bribery Ordinance.In sentencing, Principal Magistrate Miss Ivy Chui Yee-mei remarked that bribery was a serious offence which warranted an immediate custodial sentence to serve as a deterrent and convey a proper message to the public. The principal magistrate took a starting point of six months’ imprisonment and reduced the jail term by one-third having considered the defendant’s guilty plea.The court heard that in 2013, the defendant opened a Business Integrated Account for Zhong Sheng Technology which she owned at the Hongkong and Shanghai Banking Corporation Limited (HSBC). As there were no transactions in the account for over 10 consecutive months since 2015, the account was turned “dormant” in HSBC’s system.In July 2019, the defendant, through phone enquiry, learnt that the bank account was in “dormant” status. She then visited HSBC’s Business Centre in Tsim Sha Tsui to reactivate the account. Since the defendant could not provide the required company documents, the procedures could not be completed on the same day. The defendant left the bank after exchanging contact information with the bank staff concerned, and later left Hong Kong.The court heard that on August 5, 2019, the defendant, through a communication application, offered a bribe of RMB 2,000 to the aforesaid bank staff for assisting in the procedures to reactivate the account of Zhong Sheng Technology. The bank staff did not accept the offer and immediately reported the matter to her supervisor.The defendant was arrested in August 2024 when she came to Hong Kong again, and was charged by the ICAC on September 2, 2024.HSBC rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by ICAC officer Benny Chang.The ICAC reminds members of the public that bribery is a serious crime which they should avoid committing. The maximum penalty on conviction of the offence is a seven-year imprisonment and a fine of $500,000. Should anyone come across any suspicion of corruption, he or she should immediately report to the ICAC’s 24-hour Report Corruption Hotline 25 266 366. The ICAC collaborates closely with the banking industry and would take swift enforcement actions to uphold the public and stakeholders’ trust in Hong Kong’s banking system. The Community Relations Department has also produced a new educational video on bank account opening, which is being broadcast on different media platforms to remind members of the public not to breach the law. 20
Sep 2024Ex-manager of FEHD contractor charged by ICAC gets 160 hours of community service for extorting $38,000 in wages from cleaning workers by deceitA former manager of a cleaning service contractor of the Food and Environmental Hygiene Department (FEHD), charged by the ICAC, was today (September 20) sentenced to 160 hours of community service at the Kwun Tong Magistrates’ Courts for deceiving three subordinate cleaning workers into returning wage differences totalling over $38,000 in a span of nearly two years, by falsely representing to them that the employer had miscalculated their wages.Choy Wai-hong, 50, former contract manager of Sparkle Environmental Services Limited (Sparkle), earlier pleaded guilty to three counts of fraud, contrary to section 16A of the Theft Ordinance. He was also earlier ordered to make a compensation of over $38,000 to the three cleaning workers, equivalent to the total amount of which the defendant had pocketed from them.In sentencing, Magistrate Miss Lau Suk-han remarked that the defendant committed the crime out of greed and the case was serious. The magistrate added that the workers did not earn much and the defendant was literally “snatching from the beggar’s bowl”. Considering that the defendant was remorseful, the magistrate hence imposed a community service order on him.The court heard that at the material time, the defendant was a contract manager of Sparkle, a cleaning service contractor of the FEHD. He was responsible for supervising the company’s foremen and cleaning workers posted to Sai Kung District, and handling relevant matters of recruitment and employment contracts.The offences took place between August 2020 and July 2022. The defendant, without Sparkle’s authorisation, made false representations to three cleaning workers concerned that they were employed and paid as casual workers. Subsequently, the defendant falsely represented to the three workers that Sparkle had miscalculated their wages, and deceived the trio into returning part of their wages, totalling over $38,000, to him.The ICAC investigation arose from a corruption complaint in relation to workers’ wages. Enquiries revealed that the trio were in fact Sparkle’s full-time employees who were entitled to higher pay rates, but the defendant made false representations to them that they were employed as casual cleaning workers at a daily wage of either $420 or $450 only. Meanwhile, the defendant had never returned to Sparkle the wages which he defrauded out of the trio.The FEHD and Sparkle rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by ICAC officers Zacky Chan and Alex Fu. 19
Sep 2024Three years and eight months’ jail for ex-clerk of stationery company charged by ICAC over $7.2m fraud in reselling raw materials with false quotations for personal gainA former staff of a stationery company, charged by the ICAC earlier, was today (September 19) sentenced at the District Court to three years and eight months’ imprisonment for fraud by falsifying quotations, secretly purchasing plastic pellets at lower prices and reselling them to the stationery company at $7.2 million and pocketed inflated amounts totalling about $1.7 million. The offence was revealed in the course of a corruption investigation.Au Yeung Yin-tung, 40, former shipping clerk of Creative Wealth International Limited (Creative Wealth), was earlier convicted with one count of fraud, contrary to section 16A(1) of the Theft Ordinance.In sentencing, Deputy Judge Ms Veronica Heung Shuk-han reprimanded the defendant for breaching the trust her employer placed on her and showing no remorse. The judge added that the crime lasted about two and a half years, hence warranted a custodial sentence.At the material time, the defendant was a shipping clerk of Creative Wealth, a stationery manufacturer and supplier. She was assigned to procure raw materials, including plastics pellets, for a factory of Creative Wealth. For each purchase, the defendant was required to obtain quotations from various suppliers and make recommendation on the supplier to be selected.The court heard that on various occasions between December 2015 and May 2018, the defendant falsely represented to Creative Wealth that the prices of plastic pellets offered by Golden Dragon Consultants Limited (Golden Dragon) were the lowest amongst suppliers. During the period, upon her recommendation, Creative Wealth placed a total of 34 purchase orders with Golden Dragon for plastics pellets at over $7.2 million.ICAC investigation revealed that some of the suppliers had never provided any quotation to the defendant. In fact, the defendant had purchased the plastic pellets concerned from other suppliers at lower prices, inflated the prices by about $1.7 million in total and sold them to Creative Wealth through Golden Dragon.ICAC investigation revealed that Golden Dragon was in fact owned by the defendant’s husband. Some of the payments were eventually transferred from the bank account of Golden Dragon to the defendant’s bank accounts. However, the defendant had never declared to Creative Wealth her relationship with Golden Dragon.Creative Wealth had rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by Public Prosecutor Katie Fong, assisted by ICAC officer Ann Sin. 16
Sep 2024Director of printing companies charged by ICAC with inflating purchase orders and bribing client with inflated amounts in purchases worth $1.08mA director of printing companies was charged by the ICAC today (September 16) for allegedly conspiring with a managing director of a fashion accessories company to inflate the amounts of 32 purchase orders and offering the price differences as bribes to the latter in return for business worth over $1.08 million.Nip Kam-ming, 70, director and shareholder of Wang Hing Printing Company Limited (Wing Hing Printing) and Sun Wang Hing Offset Printing Company Limited (Sun Wang Hing Offset Printing), faces four counts of offering an advantage to an agent, and one count of conspiracy to defraud, contrary to section 9(2)(a) of the Prevention of Bribery Ordinance and Common Law respectively.The defendant was released on ICAC bail, pending his appearance at the Eastern Magistrates’ Courts tomorrow (September 17) for mention. The prosecution will apply for case adjournment, pending preparing papers to transfer the case to the District Court.At the material time, Wing Hing Printing and Sun Wang Hing Offset Printing engaged in selling paper products. Tiger Button (Hong Kong) Limited (Tiger Button) was a fashion accessories company and a client of Wing Hing Printing and Sun Wang Hing Offset Printing. The managing director of Tiger Button was responsible for the company’s daily operation, including selection of suppliers and approving purchase orders.One of the charges alleges that between September 2021 and February 2023, the defendant conspired with the managing director of Tiger Button to defraud the latter’s company by falsely representing that the total price of 32 carton boxes purchase orders with Wing Hing Printing or Sun Wang Hing Offset Printing were worth over $1.08 million, and inducing Tiger Button to settle the relevant payments.Four other charges allege that between January 2022 and March 2023, the defendant offered the managing director of Tiger Button bribes totalling over $620,000 on four occasions, including amounts resulted in the aforementioned inflated purchase orders, as an inducement to or reward for Tiger Button placing orders with Wing Hing Printing and Sun Wang Hing Offset Printing.The ICAC investigation, arose from corruption complaint, revealed that in September 2021, the defendant had conspired with the managing director of Tiger Button to inflate the price of each purchase order of carton boxes and agreed to return the differences to the managing director as rebates.Had Tiger Button known that the prices of the purchase orders were inflated, it would not have approved the payments. Tiger Button prohibited its staff members from accepting advantages from others in relation to the company’s business or affairs.Tiger Button had rendered full assistance to the ICAC during its investigation into the case.
Sep 2024Insurance agent charged by ICAC gets 10 months’ jail for swindling commissions over bogus policiesAn insurance agent, charged by ICAC, was today (September 25) sentenced to 10 months’ imprisonment at the Eastern Magistrates’ Courts for defrauding the company of commissions, bonuses and other payments totalling over $650,000 by providing false information in insurance policy applications.Lee Hon-yin, 28, former business manager of China Taiping Life Insurance (Hong Kong) Company Limited (China Taiping), earlier pleaded guilty to two counts of fraud, contrary to section 16A(1) of the Theft Ordinance. He was today sentenced by Principal Magistrate Mr Don So Man-lung to a jail term of 10 months.At the material time, the defendant was a business manager of China Taiping. China Taiping required all its agents to explain the terms and conditions of relevant insurance policies to their clients in-person when selling an insurance product. The company prohibited its agents from providing any false information about the policyholder and the identity of the handling agent. China Taiping would issue commissions, bonuses and other payments to the handling agent upon the approval of a policy application and receipt of the premium.The court heard that in July 2021, China Taiping received two insurance policy applications purportedly taken out by a client and sold by the defendant. Believing the information on the application forms was true and the applications were genuinely taken out by the client, China Taiping hence approved the applications and released the commissions, bonuses and other payments totalling over $650,000 to the defendant.The ICAC investigation arose from a corruption complaint in relation to the insurance policies concerned. Enquiries revealed that the client did not know the defendant. She did not apply for the above-mentioned insurance policies, nor did she pay premiums for the policies. Her personal information on the application forms was also false.Enquiries also revealed that after China Taiping had released the commissions, bonuses and other payments to the defendant, both insurance policies eventually lapsed due to default of payment on further premiums.China Taiping had rendered full assistance to the ICAC during its investigation into the case.Co-defendant Chau Yui-kwan, 34, former assistant unit manager of China Taiping, faced one count of forgery, contrary to section 71 of the Crimes Ordinance. The case was adjourned to November 6 for plea at the Eastern Magistrates’ Courts.The prosecution was today represented by Senior Public Prosecutor Steven Liu, assisted by ICAC officer Ryan Ku. 20
Sep 2024Woman charged by ICAC gets four weeks’ jail for offering RMB 2000 bribe to bank staff for reactivating accountA woman charged by the ICAC was today (September 20) sentenced to four weeks’ imprisonment at the West Kowloon Magistrates’ Courts after admitting that she had offered a bribe of RMB 2,000 to a bank employee for assistance in reactivating her company’s bank account.Li Rong, 38, director and shareholder of Zhong Sheng Technology (Hongkong) Co. Limited (Zhong Sheng Technology), today pleaded guilty to one count of offering an advantage to an agent, contrary to section 9(2)(a) of the Prevention of Bribery Ordinance.In sentencing, Principal Magistrate Miss Ivy Chui Yee-mei remarked that bribery was a serious offence which warranted an immediate custodial sentence to serve as a deterrent and convey a proper message to the public. The principal magistrate took a starting point of six months’ imprisonment and reduced the jail term by one-third having considered the defendant’s guilty plea.The court heard that in 2013, the defendant opened a Business Integrated Account for Zhong Sheng Technology which she owned at the Hongkong and Shanghai Banking Corporation Limited (HSBC). As there were no transactions in the account for over 10 consecutive months since 2015, the account was turned “dormant” in HSBC’s system.In July 2019, the defendant, through phone enquiry, learnt that the bank account was in “dormant” status. She then visited HSBC’s Business Centre in Tsim Sha Tsui to reactivate the account. Since the defendant could not provide the required company documents, the procedures could not be completed on the same day. The defendant left the bank after exchanging contact information with the bank staff concerned, and later left Hong Kong.The court heard that on August 5, 2019, the defendant, through a communication application, offered a bribe of RMB 2,000 to the aforesaid bank staff for assisting in the procedures to reactivate the account of Zhong Sheng Technology. The bank staff did not accept the offer and immediately reported the matter to her supervisor.The defendant was arrested in August 2024 when she came to Hong Kong again, and was charged by the ICAC on September 2, 2024.HSBC rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by ICAC officer Benny Chang.The ICAC reminds members of the public that bribery is a serious crime which they should avoid committing. The maximum penalty on conviction of the offence is a seven-year imprisonment and a fine of $500,000. Should anyone come across any suspicion of corruption, he or she should immediately report to the ICAC’s 24-hour Report Corruption Hotline 25 266 366. The ICAC collaborates closely with the banking industry and would take swift enforcement actions to uphold the public and stakeholders’ trust in Hong Kong’s banking system. The Community Relations Department has also produced a new educational video on bank account opening, which is being broadcast on different media platforms to remind members of the public not to breach the law. 20
Sep 2024Ex-manager of FEHD contractor charged by ICAC gets 160 hours of community service for extorting $38,000 in wages from cleaning workers by deceitA former manager of a cleaning service contractor of the Food and Environmental Hygiene Department (FEHD), charged by the ICAC, was today (September 20) sentenced to 160 hours of community service at the Kwun Tong Magistrates’ Courts for deceiving three subordinate cleaning workers into returning wage differences totalling over $38,000 in a span of nearly two years, by falsely representing to them that the employer had miscalculated their wages.Choy Wai-hong, 50, former contract manager of Sparkle Environmental Services Limited (Sparkle), earlier pleaded guilty to three counts of fraud, contrary to section 16A of the Theft Ordinance. He was also earlier ordered to make a compensation of over $38,000 to the three cleaning workers, equivalent to the total amount of which the defendant had pocketed from them.In sentencing, Magistrate Miss Lau Suk-han remarked that the defendant committed the crime out of greed and the case was serious. The magistrate added that the workers did not earn much and the defendant was literally “snatching from the beggar’s bowl”. Considering that the defendant was remorseful, the magistrate hence imposed a community service order on him.The court heard that at the material time, the defendant was a contract manager of Sparkle, a cleaning service contractor of the FEHD. He was responsible for supervising the company’s foremen and cleaning workers posted to Sai Kung District, and handling relevant matters of recruitment and employment contracts.The offences took place between August 2020 and July 2022. The defendant, without Sparkle’s authorisation, made false representations to three cleaning workers concerned that they were employed and paid as casual workers. Subsequently, the defendant falsely represented to the three workers that Sparkle had miscalculated their wages, and deceived the trio into returning part of their wages, totalling over $38,000, to him.The ICAC investigation arose from a corruption complaint in relation to workers’ wages. Enquiries revealed that the trio were in fact Sparkle’s full-time employees who were entitled to higher pay rates, but the defendant made false representations to them that they were employed as casual cleaning workers at a daily wage of either $420 or $450 only. Meanwhile, the defendant had never returned to Sparkle the wages which he defrauded out of the trio.The FEHD and Sparkle rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by ICAC officers Zacky Chan and Alex Fu. 19
Sep 2024Three years and eight months’ jail for ex-clerk of stationery company charged by ICAC over $7.2m fraud in reselling raw materials with false quotations for personal gainA former staff of a stationery company, charged by the ICAC earlier, was today (September 19) sentenced at the District Court to three years and eight months’ imprisonment for fraud by falsifying quotations, secretly purchasing plastic pellets at lower prices and reselling them to the stationery company at $7.2 million and pocketed inflated amounts totalling about $1.7 million. The offence was revealed in the course of a corruption investigation.Au Yeung Yin-tung, 40, former shipping clerk of Creative Wealth International Limited (Creative Wealth), was earlier convicted with one count of fraud, contrary to section 16A(1) of the Theft Ordinance.In sentencing, Deputy Judge Ms Veronica Heung Shuk-han reprimanded the defendant for breaching the trust her employer placed on her and showing no remorse. The judge added that the crime lasted about two and a half years, hence warranted a custodial sentence.At the material time, the defendant was a shipping clerk of Creative Wealth, a stationery manufacturer and supplier. She was assigned to procure raw materials, including plastics pellets, for a factory of Creative Wealth. For each purchase, the defendant was required to obtain quotations from various suppliers and make recommendation on the supplier to be selected.The court heard that on various occasions between December 2015 and May 2018, the defendant falsely represented to Creative Wealth that the prices of plastic pellets offered by Golden Dragon Consultants Limited (Golden Dragon) were the lowest amongst suppliers. During the period, upon her recommendation, Creative Wealth placed a total of 34 purchase orders with Golden Dragon for plastics pellets at over $7.2 million.ICAC investigation revealed that some of the suppliers had never provided any quotation to the defendant. In fact, the defendant had purchased the plastic pellets concerned from other suppliers at lower prices, inflated the prices by about $1.7 million in total and sold them to Creative Wealth through Golden Dragon.ICAC investigation revealed that Golden Dragon was in fact owned by the defendant’s husband. Some of the payments were eventually transferred from the bank account of Golden Dragon to the defendant’s bank accounts. However, the defendant had never declared to Creative Wealth her relationship with Golden Dragon.Creative Wealth had rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by Public Prosecutor Katie Fong, assisted by ICAC officer Ann Sin. 16
Sep 2024Director of printing companies charged by ICAC with inflating purchase orders and bribing client with inflated amounts in purchases worth $1.08mA director of printing companies was charged by the ICAC today (September 16) for allegedly conspiring with a managing director of a fashion accessories company to inflate the amounts of 32 purchase orders and offering the price differences as bribes to the latter in return for business worth over $1.08 million.Nip Kam-ming, 70, director and shareholder of Wang Hing Printing Company Limited (Wing Hing Printing) and Sun Wang Hing Offset Printing Company Limited (Sun Wang Hing Offset Printing), faces four counts of offering an advantage to an agent, and one count of conspiracy to defraud, contrary to section 9(2)(a) of the Prevention of Bribery Ordinance and Common Law respectively.The defendant was released on ICAC bail, pending his appearance at the Eastern Magistrates’ Courts tomorrow (September 17) for mention. The prosecution will apply for case adjournment, pending preparing papers to transfer the case to the District Court.At the material time, Wing Hing Printing and Sun Wang Hing Offset Printing engaged in selling paper products. Tiger Button (Hong Kong) Limited (Tiger Button) was a fashion accessories company and a client of Wing Hing Printing and Sun Wang Hing Offset Printing. The managing director of Tiger Button was responsible for the company’s daily operation, including selection of suppliers and approving purchase orders.One of the charges alleges that between September 2021 and February 2023, the defendant conspired with the managing director of Tiger Button to defraud the latter’s company by falsely representing that the total price of 32 carton boxes purchase orders with Wing Hing Printing or Sun Wang Hing Offset Printing were worth over $1.08 million, and inducing Tiger Button to settle the relevant payments.Four other charges allege that between January 2022 and March 2023, the defendant offered the managing director of Tiger Button bribes totalling over $620,000 on four occasions, including amounts resulted in the aforementioned inflated purchase orders, as an inducement to or reward for Tiger Button placing orders with Wing Hing Printing and Sun Wang Hing Offset Printing.The ICAC investigation, arose from corruption complaint, revealed that in September 2021, the defendant had conspired with the managing director of Tiger Button to inflate the price of each purchase order of carton boxes and agreed to return the differences to the managing director as rebates.Had Tiger Button known that the prices of the purchase orders were inflated, it would not have approved the payments. Tiger Button prohibited its staff members from accepting advantages from others in relation to the company’s business or affairs.Tiger Button had rendered full assistance to the ICAC during its investigation into the case.