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Mar 2024Ex-security supervisor of public housing estate charged by ICAC gets two months’ jail for receiving ‘laisees’ over duty arrangementA former security supervisor of a public housing estate, charged by the ICAC, was today (March 27) sentenced to two months’ imprisonment at the Kowloon City Magistrates’ Courts after admitting her receiving of “laisees” totalling $4,000 from a subordinate security guard for arranging a post the latter preferred. The subordinate security guard had also been earlier sentenced to a jail term of two months after pleading guilty to the offences concerned.Chan Sau-wan, 70, former security supervisor of Nice Property Management Limited (Nice Property), pleaded guilty to two counts of agent accepting an advantage, contrary to section 9(1)(b) of the Prevention of Bribery Ordinance.In sentencing, Magistrate Mr Peter Yu Chun-cheung remarked that the offences were serious in nature. He took a starting point of three months’ imprisonment and reduced the jail term by one-third to two months, having considered the defendant’s guilty plea.At the material time, Nice Property was engaged by the Housing Department (HD) to provide security services in Lok Fu Estate. Nice Property forbade its staff to offer or accept any advantages in relation to their duties.The court heard that Chan was a morning shift security supervisor of Lok Fu Estate. She was responsible for preparing daily duty roster of subordinate security guards, including Liang Jinlan.Chan admitted that between mid-November 2022 and late January 2023, after her birthday and during Chinese New Year, she had accepted two “laisees” totalling $4,000 offered by Liang for arranging the latter to work at the reception of a building in Lok Fu Estate.The ICAC investigation arose from a corruption complaint referred by the HD. The HD and Nice Property had rendered full assistance to the ICAC during its investigation into the case. The prosecution was today represented by ICAC officer Michael Lim.The former security guard of Nice Property, Liang, 49, was sentenced to two months’ imprisonment late last year after pleading guilty to two counts of offering bribes. 26
Mar 2024Funeral agent charged by ICAC for bribery over servicesA funeral agent was yesterday (March 25) charged by the ICAC for allegedly offering a bribe of $3,000 to a fellow church member of a deceased elderly person for securing the business of the latter’s after-death arrangements.Chak Kwok-hung, 42, sales agent of Endless Love Care Service Company Limited (Endless Love), faces one count of offering an advantage to an agent, contrary to section 9(2)(a) of the Prevention of Bribery Ordinance.The defendant was released on ICAC bail, pending his appearance at the Kowloon City Magistrates’ Courts on Thursday (March 28) for plea.On March 6, 2023, an elderly person residing in a private residential care home passed away. The elderly person had given several ten thousand dollars to two fellow church members and entrusted them to take care of his funeral services beforehand. After the duo found out that the funeral services had been passed to Endless Love unbeknown to them on the same day the deceased died, one of them visited Endless Love to make enquiries.The charge alleges that on March 6, 2023, the defendant offered $3,000 to the fellow church member visiting Endless Love for referring the funeral services for the deceased elderly person to the defendant or Endless Love.The church member rejected the defendant’s offer and left. 25
Mar 2024Jail terms of 12 to 35 months for three insurance agents charged by ICAC over $2.7m fraud and money launderingThree former insurance agents, charged by the ICAC, were today (March 25) sentenced at the District Court to jail terms from 12 months to 35 months for conspiracy to defraud an insurer of commissions and bonuses totalling about $1.2 million by making false representations four insurance policies were handled by another insurance agent, and conspiracy to launder over $2.7 million in crime proceeds.Li Chung-hing, former assistant branch manager of AXA China Region Insurance Company Limited (AXA); and Kong Ho-chi, former insurance agent of AXA, both 36, were sentenced by Deputy Judge Mr Edward Wong Ching-yu to jail terms of 35 months and 32 months respectively.The duo were earlier found guilty of five charges after trial – four of conspiracy to defraud, contrary to the Common Law, and one of conspiracy to dealing with property known or believed to represent proceeds of an indictable offence, contrary to Section 25(1) of the Organized and Serious Crimes Ordinance and Section 159A of the Crimes Ordinance.Co-defendant Tang Maurice Moses, 38, former insurance agent of AXA, who had pleaded guilty to two of the conspiracy to defraud charges, was sentenced to 12 months’ imprisonment.At the material time between September 2015 and September 2017, Li was an assistant branch manager of AXA and also the up-line manager of Tang, Kong and another insurance agent referred by Kong to work at AXA.AXA insurance agents were required to personally meet their clients to explain the terms and conditions of insurance policies. Upon approval of an insurance policy application and receipt of the relevant premium, AXA would release commission to the handling insurance agent, and overriding commission to the relevant up-line manager and job referrer.In addition, various kinds of bonuses would be released to insurance agents should they meet specified sales targets or when the insurance agents referred by them to work at AXA successfully sell any insurance products.The court heard that Li either conspired with Tang and Kong to defraud AXA by falsely representing that the insurance agent referred by Kong had handled four insurance policy applications.Believing that the information contained in the insurance policy applications was genuine, AXA underwrote and issued those insurance policies, and paid commissions, bonuses, etc. totalling about $1.2 million in connection with the four insurance policies to Li, Kong and the insurance agent referred by Kong.The ICAC investigation arose from a corruption complaint alleging submission of false insurance policy applications by insurance agents. Enquiries revealed that the three defendants paid the premiums for the insurance policies in the present case. The insurance agent referred by Kong was never involved in the sale of those insurance policies which lapsed as premiums were subsequently not paid.ICAC enquiries also revealed that the insurance agent referred by Kong received commissions and bonuses totalling over $2.7 million from AXA at the material time even though he was not involved in the sale of any insurance policies. The sum was then transferred from his bank account to the personal bank accounts of Lee and Kong.AXA had rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by prosecuting counsel Boey Chung, assisted by ICAC officer Allan Fong. 14
Mar 2024Ex-bank employee and intermediary charged by ICAC with bribery for expediting account openingA former bank employee and an intermediary were charged by the ICAC yesterday (March 13) for allegedly soliciting and accepting bribes totalling $13,000 for expediting the process of opening personal bank accounts for six clients.Law Tsz-hin, 30, former business sales executive of China Construction Bank (Asia) Corporation Limited (CCB (Asia)), faces four charges – one of agent soliciting an advantage; two of agent accepting an advantage and one of conspiracy for an agent to accept advantages, contrary to Section 9(1)(a) of the Prevention of Bribery Ordinance and Section 159A of the Crimes Ordinance.Hu Yi, 39, sole director of Gangchen International Business Consulting (Shenzhen) Company Limited (Gangchen), faces the charge of conspiracy for an agent to accept advantages.The duo were released on ICAC bail, pending their appearance at the Eastern Magistrates’ Courts tomorrow (March 15) for plea.At the material time, Law was a business sales executive of the Central Branch of CCB (Asia). He was responsible for opening personal bank accounts and answering enquiries from clients. Gangchen was an intermediary company providing commercial secretarial and bank account opening services.It is alleged that between late April and mid-May 2023, when Law was handling account opening matters, he solicited a bribe of $5,000 from a client and accepted bribes totalling $5,000 from two other clients for expediting the trio’s account opening process.Law and Hu allegedly conspired together during the period for Law to accept bribes from Hu for expediting the account opening process of clients referred by Hu. It is alleged that bribes totalling $3,000 were involved for three clients referred to Law by Hu.CCB (Asia) has rendered full assistance to the ICAC during its investigation into the case.The ICAC has been actively promoting corruption prevention services to banks and enhancing banking practitioners’ knowledge on the anti-corruption laws. The newly launched “Corruption Prevention Guide for Banks” assists banks in managing corruption risks in core operations, including accounts opening. An Ethics Promotion Programme for the Banking Industry was also launched to help bank staff to understand common corruption loopholes. 07
Mar 2024ICAC charges ex-ED of Insurance Authority with misconduct in public office over daughter-in-law’s hiring by insurerA then Executive Director of the Insurance Authority (IA) and her daughter-in-law were charged by the ICAC today (March 7) with conspiracy to commit misconduct in public office (MIPO) by allegedly coercing and inducing an insurance company to hire the daughter-in-law with an enhanced salary package.Hui Mei-ying, 61, former Executive Director and a member of the IA Board, and her daughter-in-law Chan Tsz-wai, 32, jointly face one count of conspiracy to commit MIPO, contrary to Common Law and Section 159A of the Crimes Ordinance. Hui further faces an alternative charge of MIPO.The duo were released on ICAC bail, pending their appearance in the Eastern Magistrates’ Courts tomorrow (March 8) for mention.The IA is a statutory body regulating and supervising insurance industry and all members of its Board are appointed by the Chief Executive. Executive Directors of the IA are required to observe the “Code of Conduct for Authority Members” and “Employee Handbook”. They are prohibited from using their official positions in a manner that is intended to coerce or induce another person to provide any benefit to them or their relatives or friends; and should avoid and declare any conflict of interest.At the material time, Hui was the Executive Director, Long Term Business, of the IA cum a member of the IA Board. She oversaw the supervision and regulation of insurance companies carrying on long term business in Hong Kong, including Prudential Plc and Prudential Hong Kong Limited (collectively known as Prudential). Her daughter-in-law, Chan, was a digital consultant.It is alleged that between September 2022 and March 2023, Hui and Chan conspired together for Hui, in the course of or in relation to Hui’s public office, without reasonable excuse or justification, to wilfully misconduct herself by using her official position in a manner that was intended to coerce or induce Prudential to offer employment to Chan with an enhanced salary package.Apart from HUI’s misuse of her official position, the alternative charge also alleges that Hui had failed to avoid and declare to the IA a conflict of interest.The IA referred the case to the ICAC after receiving a report on the matter filed by Prudential. The ICAC investigation revealed that Hui allegedly sent Chan’s curriculum vitae to a senior executive of Prudential to explore a job opportunity for Chan. When Chan and Prudential were discussing her salary package, Hui made negative comments to Prudential’s senior management on its failure to hire the right talents with market salaries. Hui added that if the issue was not properly addressed, she would exercise IA’s supervision power to institute a review on Prudential’s operation which could cause Prudential millions of dollars.The ICAC investigation also revealed that Chan, who was earning about $960,000 annually at the material time, demanded a 30% increase of her salary to $1.3 million from Prudential. When Chan was discussing her salary package with Prudential, she also allegedly told an employee of Prudential that she could help Prudential maintain a good relationship with the IA and that she could share insider information of the IA with Prudential. Prudential subsequently terminated the employment process in view of the potential conflict of interest.The IA and Prudential have rendered full assistance to the ICAC during its investigation into the case.The ICAC reminds public officers that the powers which they are entrusted with should be used to serve the public good. They should uphold a high standard of integrity and discharge their duties honestly and impartially, and should never abuse their official capacity to obtain benefits for themselves, their relatives or friends.
Mar 2024Ex-security supervisor of public housing estate charged by ICAC gets two months’ jail for receiving ‘laisees’ over duty arrangementA former security supervisor of a public housing estate, charged by the ICAC, was today (March 27) sentenced to two months’ imprisonment at the Kowloon City Magistrates’ Courts after admitting her receiving of “laisees” totalling $4,000 from a subordinate security guard for arranging a post the latter preferred. The subordinate security guard had also been earlier sentenced to a jail term of two months after pleading guilty to the offences concerned.Chan Sau-wan, 70, former security supervisor of Nice Property Management Limited (Nice Property), pleaded guilty to two counts of agent accepting an advantage, contrary to section 9(1)(b) of the Prevention of Bribery Ordinance.In sentencing, Magistrate Mr Peter Yu Chun-cheung remarked that the offences were serious in nature. He took a starting point of three months’ imprisonment and reduced the jail term by one-third to two months, having considered the defendant’s guilty plea.At the material time, Nice Property was engaged by the Housing Department (HD) to provide security services in Lok Fu Estate. Nice Property forbade its staff to offer or accept any advantages in relation to their duties.The court heard that Chan was a morning shift security supervisor of Lok Fu Estate. She was responsible for preparing daily duty roster of subordinate security guards, including Liang Jinlan.Chan admitted that between mid-November 2022 and late January 2023, after her birthday and during Chinese New Year, she had accepted two “laisees” totalling $4,000 offered by Liang for arranging the latter to work at the reception of a building in Lok Fu Estate.The ICAC investigation arose from a corruption complaint referred by the HD. The HD and Nice Property had rendered full assistance to the ICAC during its investigation into the case. The prosecution was today represented by ICAC officer Michael Lim.The former security guard of Nice Property, Liang, 49, was sentenced to two months’ imprisonment late last year after pleading guilty to two counts of offering bribes. 26
Mar 2024Funeral agent charged by ICAC for bribery over servicesA funeral agent was yesterday (March 25) charged by the ICAC for allegedly offering a bribe of $3,000 to a fellow church member of a deceased elderly person for securing the business of the latter’s after-death arrangements.Chak Kwok-hung, 42, sales agent of Endless Love Care Service Company Limited (Endless Love), faces one count of offering an advantage to an agent, contrary to section 9(2)(a) of the Prevention of Bribery Ordinance.The defendant was released on ICAC bail, pending his appearance at the Kowloon City Magistrates’ Courts on Thursday (March 28) for plea.On March 6, 2023, an elderly person residing in a private residential care home passed away. The elderly person had given several ten thousand dollars to two fellow church members and entrusted them to take care of his funeral services beforehand. After the duo found out that the funeral services had been passed to Endless Love unbeknown to them on the same day the deceased died, one of them visited Endless Love to make enquiries.The charge alleges that on March 6, 2023, the defendant offered $3,000 to the fellow church member visiting Endless Love for referring the funeral services for the deceased elderly person to the defendant or Endless Love.The church member rejected the defendant’s offer and left. 25
Mar 2024Jail terms of 12 to 35 months for three insurance agents charged by ICAC over $2.7m fraud and money launderingThree former insurance agents, charged by the ICAC, were today (March 25) sentenced at the District Court to jail terms from 12 months to 35 months for conspiracy to defraud an insurer of commissions and bonuses totalling about $1.2 million by making false representations four insurance policies were handled by another insurance agent, and conspiracy to launder over $2.7 million in crime proceeds.Li Chung-hing, former assistant branch manager of AXA China Region Insurance Company Limited (AXA); and Kong Ho-chi, former insurance agent of AXA, both 36, were sentenced by Deputy Judge Mr Edward Wong Ching-yu to jail terms of 35 months and 32 months respectively.The duo were earlier found guilty of five charges after trial – four of conspiracy to defraud, contrary to the Common Law, and one of conspiracy to dealing with property known or believed to represent proceeds of an indictable offence, contrary to Section 25(1) of the Organized and Serious Crimes Ordinance and Section 159A of the Crimes Ordinance.Co-defendant Tang Maurice Moses, 38, former insurance agent of AXA, who had pleaded guilty to two of the conspiracy to defraud charges, was sentenced to 12 months’ imprisonment.At the material time between September 2015 and September 2017, Li was an assistant branch manager of AXA and also the up-line manager of Tang, Kong and another insurance agent referred by Kong to work at AXA.AXA insurance agents were required to personally meet their clients to explain the terms and conditions of insurance policies. Upon approval of an insurance policy application and receipt of the relevant premium, AXA would release commission to the handling insurance agent, and overriding commission to the relevant up-line manager and job referrer.In addition, various kinds of bonuses would be released to insurance agents should they meet specified sales targets or when the insurance agents referred by them to work at AXA successfully sell any insurance products.The court heard that Li either conspired with Tang and Kong to defraud AXA by falsely representing that the insurance agent referred by Kong had handled four insurance policy applications.Believing that the information contained in the insurance policy applications was genuine, AXA underwrote and issued those insurance policies, and paid commissions, bonuses, etc. totalling about $1.2 million in connection with the four insurance policies to Li, Kong and the insurance agent referred by Kong.The ICAC investigation arose from a corruption complaint alleging submission of false insurance policy applications by insurance agents. Enquiries revealed that the three defendants paid the premiums for the insurance policies in the present case. The insurance agent referred by Kong was never involved in the sale of those insurance policies which lapsed as premiums were subsequently not paid.ICAC enquiries also revealed that the insurance agent referred by Kong received commissions and bonuses totalling over $2.7 million from AXA at the material time even though he was not involved in the sale of any insurance policies. The sum was then transferred from his bank account to the personal bank accounts of Lee and Kong.AXA had rendered full assistance to the ICAC during its investigation into the case.The prosecution was today represented by prosecuting counsel Boey Chung, assisted by ICAC officer Allan Fong. 14
Mar 2024Ex-bank employee and intermediary charged by ICAC with bribery for expediting account openingA former bank employee and an intermediary were charged by the ICAC yesterday (March 13) for allegedly soliciting and accepting bribes totalling $13,000 for expediting the process of opening personal bank accounts for six clients.Law Tsz-hin, 30, former business sales executive of China Construction Bank (Asia) Corporation Limited (CCB (Asia)), faces four charges – one of agent soliciting an advantage; two of agent accepting an advantage and one of conspiracy for an agent to accept advantages, contrary to Section 9(1)(a) of the Prevention of Bribery Ordinance and Section 159A of the Crimes Ordinance.Hu Yi, 39, sole director of Gangchen International Business Consulting (Shenzhen) Company Limited (Gangchen), faces the charge of conspiracy for an agent to accept advantages.The duo were released on ICAC bail, pending their appearance at the Eastern Magistrates’ Courts tomorrow (March 15) for plea.At the material time, Law was a business sales executive of the Central Branch of CCB (Asia). He was responsible for opening personal bank accounts and answering enquiries from clients. Gangchen was an intermediary company providing commercial secretarial and bank account opening services.It is alleged that between late April and mid-May 2023, when Law was handling account opening matters, he solicited a bribe of $5,000 from a client and accepted bribes totalling $5,000 from two other clients for expediting the trio’s account opening process.Law and Hu allegedly conspired together during the period for Law to accept bribes from Hu for expediting the account opening process of clients referred by Hu. It is alleged that bribes totalling $3,000 were involved for three clients referred to Law by Hu.CCB (Asia) has rendered full assistance to the ICAC during its investigation into the case.The ICAC has been actively promoting corruption prevention services to banks and enhancing banking practitioners’ knowledge on the anti-corruption laws. The newly launched “Corruption Prevention Guide for Banks” assists banks in managing corruption risks in core operations, including accounts opening. An Ethics Promotion Programme for the Banking Industry was also launched to help bank staff to understand common corruption loopholes. 07
Mar 2024ICAC charges ex-ED of Insurance Authority with misconduct in public office over daughter-in-law’s hiring by insurerA then Executive Director of the Insurance Authority (IA) and her daughter-in-law were charged by the ICAC today (March 7) with conspiracy to commit misconduct in public office (MIPO) by allegedly coercing and inducing an insurance company to hire the daughter-in-law with an enhanced salary package.Hui Mei-ying, 61, former Executive Director and a member of the IA Board, and her daughter-in-law Chan Tsz-wai, 32, jointly face one count of conspiracy to commit MIPO, contrary to Common Law and Section 159A of the Crimes Ordinance. Hui further faces an alternative charge of MIPO.The duo were released on ICAC bail, pending their appearance in the Eastern Magistrates’ Courts tomorrow (March 8) for mention.The IA is a statutory body regulating and supervising insurance industry and all members of its Board are appointed by the Chief Executive. Executive Directors of the IA are required to observe the “Code of Conduct for Authority Members” and “Employee Handbook”. They are prohibited from using their official positions in a manner that is intended to coerce or induce another person to provide any benefit to them or their relatives or friends; and should avoid and declare any conflict of interest.At the material time, Hui was the Executive Director, Long Term Business, of the IA cum a member of the IA Board. She oversaw the supervision and regulation of insurance companies carrying on long term business in Hong Kong, including Prudential Plc and Prudential Hong Kong Limited (collectively known as Prudential). Her daughter-in-law, Chan, was a digital consultant.It is alleged that between September 2022 and March 2023, Hui and Chan conspired together for Hui, in the course of or in relation to Hui’s public office, without reasonable excuse or justification, to wilfully misconduct herself by using her official position in a manner that was intended to coerce or induce Prudential to offer employment to Chan with an enhanced salary package.Apart from HUI’s misuse of her official position, the alternative charge also alleges that Hui had failed to avoid and declare to the IA a conflict of interest.The IA referred the case to the ICAC after receiving a report on the matter filed by Prudential. The ICAC investigation revealed that Hui allegedly sent Chan’s curriculum vitae to a senior executive of Prudential to explore a job opportunity for Chan. When Chan and Prudential were discussing her salary package, Hui made negative comments to Prudential’s senior management on its failure to hire the right talents with market salaries. Hui added that if the issue was not properly addressed, she would exercise IA’s supervision power to institute a review on Prudential’s operation which could cause Prudential millions of dollars.The ICAC investigation also revealed that Chan, who was earning about $960,000 annually at the material time, demanded a 30% increase of her salary to $1.3 million from Prudential. When Chan was discussing her salary package with Prudential, she also allegedly told an employee of Prudential that she could help Prudential maintain a good relationship with the IA and that she could share insider information of the IA with Prudential. Prudential subsequently terminated the employment process in view of the potential conflict of interest.The IA and Prudential have rendered full assistance to the ICAC during its investigation into the case.The ICAC reminds public officers that the powers which they are entrusted with should be used to serve the public good. They should uphold a high standard of integrity and discharge their duties honestly and impartially, and should never abuse their official capacity to obtain benefits for themselves, their relatives or friends.