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Mar 2023Financial intermediary charged over $5.2 million mortgage loan fraud revealed in ICAC graft probeIn the course of a corruption investigation by the ICAC, it was revealed that a financial intermediary had allegedly conspired with two mortgage loan applicants to deceive a financial services company into granting the duo loans totalling about $5.2 million by making false representations about their monthly salaries. Following the prosecution of the two mortgage loan applicants, the financial intermediary was charged by the Commission yesterday (March 14).Ting Chun-kwan, 41, senior account manager of Genuine Mortgage Referral Limited (GMRL), faces two counts of conspiracy to defraud, contrary to Common Law. The defendant was released on ICAC bail, pending his appearance in the Eastern Magistrates’ Courts tomorrow (March 16) for plea.At the material time, GMRL was an appointed intermediary of OCBC Wing Hang Credit Limited (Wing Hang Credit) for mortgage loan referral. Between June and December 2018, two customers engaged GMRL for arranging mortgage loans for their properties.It is alleged that the defendant conspired with the two mortgage loan applicants respectively to defraud Wing Hang Credit by falsely representing that their monthly salaries were $85,000 and $150,000, and causing Wing Hang Credit to approve mortgage loans of about $3.5 million and $1.7 million to the duo.The ICAC investigation arose from a corruption complaint. Enquiries revealed that one of the mortgage loan applicants earned $7,000 each month and the other one was unemployed at the material time. The duo were charged in separate cases by the ICAC earlier, while the financial intermediary was charged yesterday upon receipt of further legal advice from the Department of Justice.Wing Hang Credit has rendered full assistance to the ICAC during its investigation into the case. 15
Mar 2023Joint press release: Five more arrested in SFC and ICAC joint operation against sophisticated ramp-and-dump syndicateFive key members of an active ramp-and-dump syndicate were arrested in a follow-up joint operation of the Securities and Futures Commission (SFC) and the Independent Commission Against Corruption (ICAC) mounted in the past two days (14 and 15 March). The sophisticated syndicate is suspected of operating ramp-and-dump market manipulation involving illicit gains of $191 million through a complex shareholding network of Hong Kong-listed companies by corrupt means. Eight other members of the syndicate were earlier arrested in another joint operation of the SFC and the ICAC (Note 1).The five arrestees are key members of the syndicate, including qualified accountants and senior executives of a number of Hong Kong listed companies. The joint operation of the SFC and the ICAC involved searches of various premises, including the offices and the residences of the arrestees.Another eight people – including a suspected ringleader and other key members of the syndicate – were arrested on suspicion of corruption in an earlier joint operation mounted in November last year.Intensive investigations by the SFC and the ICAC also revealed other criminal offences, including perverting the course of public justice and obstructing the SFC’s investigations (Note 2).The SFC’s Executive Director of Enforcement, Mr Christopher Wilson, said: “The joint operation demonstrated our determination to tackle any form of corruption-facilitated market misconduct and zero tolerance of wrongdoers attempting to obstruct our investigations and pervert the course of justice. We are committed to work with the ICAC to root out misconduct and uphold Hong Kong’s reputation as an international financial market”.Deputy Commissioner and Head of Operations of the ICAC, Mr Ricky Yau Shu-chun, said: “The ICAC would not tolerate corruption or any illegal acts frustrating investigations by the Commission. We will continue to collaborate with the SFC to track down the corrupt so as to sustain Hong Kong’s status as a clean international financial centre. Perverting the course of public justice is a serious offence. The ICAC would follow up on breaches of such offence in a serious manner.”No further comment will be made at this stage as investigations are ongoing.Notes:1. Please see the joint press release of the SFC and the ICAC dated 10 November 2022 (www.icac.org.hk/en/press/index_id_1469.html).2. Under section 382 of the Securities and Futures Ordinance (SFO), it is a criminal offence if a person, without reasonable excuse, obstructs the SFC in performance of the statutory vested by the SFO. The maximum penalty on indictment is two years imprisonment and a fine of HK$1 million. Under section 101I of the Criminal Procedure Ordinance, if a person is convicted of an offence of perverting the course of justice at common law, he shall be liable to be sentenced at the discretion of the court to imprisonment for any term and a fine of any amount. 13
Mar 2023Man charged by ICAC with bribing CVC nurse over COVID-19 jab recordA man was charged by the ICAC today (March 13) for allegedly bribing a nurse of a Community Vaccination Centre (CVC) with $1,000 for obtaining a vaccination record without inoculating the COVID-19 vaccine.Cheung Chin-hang, 25, community health practitioner of a District Health Centre, faces one count of offering an advantage to an agent, contrary to section 9(2) of the Prevention of Bribery Ordinance. He was released on ICAC bail, pending his appearance at the West Kowloon Magistrates’ Courts on Wednesday (March 15) for plea.At that time, the defendant worked at a District Health Centre under the Health Bureau, which was a government designated healthcare premises subject to the Vaccine Pass Arrangement. In order to enter his workplace, he was required to comply with the arrangement by receiving designated doses of COVID-19 vaccine or possessing a valid medical exemption certificate.On September 21, 2022, the defendant visited Osman Ramju Sadick Memorial Sports Center CVC operated by Quality HealthCare Medical Services Limited (QHMS) and allegedly offered $1,000 to an enrolled nurse for issuing a vaccination record without inoculating the COVID-19 vaccine.The nurse declined the offer and reported the matter to QHMS.QHMS and the Department of Health have rendered full assistance to the ICAC during its investigation. 10
Mar 2023Four charged by ICAC with accepting $430,000 bribes from Third Runway Project construction workersFour former site team leaders of a sub-contractor of the Third Runway Project of the Hong Kong International Airport (Third Runway Project) were charged by the ICAC today (March 10) with soliciting and accepting illegal rebates totalling about $430,000 from around 40 riggers, bar-benders and carpenters in relation to their employment with the sub-contractor. Arising from the relevant investigation, the ICAC has so far charged a total of 21 people.The ICAC had taken a series of enforcement actions against illicit acceptance of illegal rebates from construction workers of Third Runway Project since 2021, leading to the prosecution of 17 people earlier for alleged acceptance of illegal rebates from over 25 construction workers. As the relevant corruption investigation is continuing, the ICAC does not rule out further law enforcement actions.An ICAC spokesperson urges construction workers not to tolerate corruption. Should they be asked to pay illegal rebates in exchange for their employment, they should report to the ICAC immediately. Report corruption hotline: 25 266 366.Upon receipt of further legal advice from the Department of Justice, the ICAC today charged four former site team leaders of a sub-contractor of the Third Runway Project in separate cases. The defendants face a total of 29 charges – 20 of agent accepting an advantage; five of conspiracy for agents to accept advantages; and four of agent soliciting an advantage. They were released on ICAC bail, pending their appearance in the West Kowloon Magistrates’ Courts next Tuesday (March 14) for plea.At the material time, MLife Engineering Limited (MEL) was a sub-contractor of the Third Runway Project responsible for recruiting construction workers to conduct various works.In the first case which took place between August 2020 and March 2021, Liu Yin-man, 62, former leader of a team of riggers of MEL, allegedly conspired together with another team leader and various riggers for him and the team leader to receive illegal rebates of about $230,000 from 29 riggers.Former leader of a team of bar benders of MEL Wong Hei, 51, was charged in a separate case which took place between March 2020 and July 2021. It is alleged that Wong conspired with four bar benders respectively to accept illegal rebates totalling about $120,000 from the latter. It is further alleged that Wong accepted $1,000 and solicited illegal rebates in relation to 55 working days from two of the bar benders respectively, and received from another bar bender illegal rebate of $1,300.The third case took place between September 2020 and March 2021. Former leader of a team of bar benders of MEL Ip Ying-lam, 40, allegedly accepted from a bar bender and a general worker illegal rebate of over $55,000 and $3,900 respectively.Another case took place between June 2021 and March 2022. It is alleged that former leader of a team of carpenters of MEL Mok Pak-cheung, 62, solicited from two carpenters illegal rebates of $200 to $400 per working day, and received illegal rebate of $20,000 from one of them.ICAC investigation revealed that the four defendants allegedly solicited and accepted illegal rebates from workers for assisting them to secure or continue their employment with MEL.The Airport Authority Hong Kong, the relevant main contractor SAPR JV and MEL had rendered full assistance to the ICAC during its investigation into the case.Among the 17 former employees of the main contractor and a sub-contractor of the Third Runway Project charged earlier, 11 had pleaded guilty or were found guilty after trial, receiving sentences up 10 months in jail. Five others are awaiting trial, while the prosecution offered no evidence to the charge against a defendant. 09
Mar 2023Man jailed for conspiracy to commit money laundering revealed in ICAC probe into impersonation phone scamFollowing the receipt of a complaint alleging impersonation of ICAC officers in phone scams, the Commission concluded an investigation and revealed that a man was suspected to have received a few hundred RMB for visiting Hong Kong to open a bank account, which was subsequently operated by others to handle payments in phone scams. The man, charged by the ICAC earlier, was sentenced to four months’ imprisonment after pleading guilty to conspiracy to commit money laundering at the Kowloon City Magistrates’ Courts today (March 9).Huang Jianli, 31, pleaded guilty to one count of conspiracy to deal 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.In sentencing, Acting Principal Magistrate Peony Wong Nga-yan said the case involved extraterritorial element despite the period of defendant’s criminal involvement was not long and the amount of crime proceeds was not the highest among same nature of cases. Having considered the defendant’s guilty plea, his jail term was reduced to four months from a starting point of six months’ imprisonment.The court heard that between 2018 and February 2019, the defendant conspired with others to handle four sums of Hong Kong dollar, Singaporean dollar and United States dollar, totalling about HK$180,000, in his bank account at Bank of China (Hong Kong) Limited (BOCHK).The investigation arose from a complaint filed with the ICAC alleging impersonation of the Commission’s officers in phone scams. It was revealed that in 2018, the defendant accepted others’ arrangement to visit Hong Kong for opening a bank account at BOCHK and to let others operate it in exchange for RMB 900. When he acceded to the deal, he knew or had reasonable grounds to believe that the account would be used illegally to launder crime proceeds.Enquiries also revealed that scammers allegedly asked phone scam victims to deposit the four sums of money into the defendant’s bank account, purportedly for asset clearance or investigation.An ICAC spokesperson stresses that the Commission would not request members of the public to make transfers to designated bank accounts for asset clearance or investigation. Should members of the public receive any transfer requests made by people claimed to be ICAC officers, they are urged not to follow such instructions and report the matter to the ICAC at its hotline: 25 266 366.BOCHK has rendered full assistance to the ICAC during its investigation into the case.The prosecution was represented by ICAC officer Simon Liu.
Mar 2023Financial intermediary charged over $5.2 million mortgage loan fraud revealed in ICAC graft probeIn the course of a corruption investigation by the ICAC, it was revealed that a financial intermediary had allegedly conspired with two mortgage loan applicants to deceive a financial services company into granting the duo loans totalling about $5.2 million by making false representations about their monthly salaries. Following the prosecution of the two mortgage loan applicants, the financial intermediary was charged by the Commission yesterday (March 14).Ting Chun-kwan, 41, senior account manager of Genuine Mortgage Referral Limited (GMRL), faces two counts of conspiracy to defraud, contrary to Common Law. The defendant was released on ICAC bail, pending his appearance in the Eastern Magistrates’ Courts tomorrow (March 16) for plea.At the material time, GMRL was an appointed intermediary of OCBC Wing Hang Credit Limited (Wing Hang Credit) for mortgage loan referral. Between June and December 2018, two customers engaged GMRL for arranging mortgage loans for their properties.It is alleged that the defendant conspired with the two mortgage loan applicants respectively to defraud Wing Hang Credit by falsely representing that their monthly salaries were $85,000 and $150,000, and causing Wing Hang Credit to approve mortgage loans of about $3.5 million and $1.7 million to the duo.The ICAC investigation arose from a corruption complaint. Enquiries revealed that one of the mortgage loan applicants earned $7,000 each month and the other one was unemployed at the material time. The duo were charged in separate cases by the ICAC earlier, while the financial intermediary was charged yesterday upon receipt of further legal advice from the Department of Justice.Wing Hang Credit has rendered full assistance to the ICAC during its investigation into the case. 15
Mar 2023Joint press release: Five more arrested in SFC and ICAC joint operation against sophisticated ramp-and-dump syndicateFive key members of an active ramp-and-dump syndicate were arrested in a follow-up joint operation of the Securities and Futures Commission (SFC) and the Independent Commission Against Corruption (ICAC) mounted in the past two days (14 and 15 March). The sophisticated syndicate is suspected of operating ramp-and-dump market manipulation involving illicit gains of $191 million through a complex shareholding network of Hong Kong-listed companies by corrupt means. Eight other members of the syndicate were earlier arrested in another joint operation of the SFC and the ICAC (Note 1).The five arrestees are key members of the syndicate, including qualified accountants and senior executives of a number of Hong Kong listed companies. The joint operation of the SFC and the ICAC involved searches of various premises, including the offices and the residences of the arrestees.Another eight people – including a suspected ringleader and other key members of the syndicate – were arrested on suspicion of corruption in an earlier joint operation mounted in November last year.Intensive investigations by the SFC and the ICAC also revealed other criminal offences, including perverting the course of public justice and obstructing the SFC’s investigations (Note 2).The SFC’s Executive Director of Enforcement, Mr Christopher Wilson, said: “The joint operation demonstrated our determination to tackle any form of corruption-facilitated market misconduct and zero tolerance of wrongdoers attempting to obstruct our investigations and pervert the course of justice. We are committed to work with the ICAC to root out misconduct and uphold Hong Kong’s reputation as an international financial market”.Deputy Commissioner and Head of Operations of the ICAC, Mr Ricky Yau Shu-chun, said: “The ICAC would not tolerate corruption or any illegal acts frustrating investigations by the Commission. We will continue to collaborate with the SFC to track down the corrupt so as to sustain Hong Kong’s status as a clean international financial centre. Perverting the course of public justice is a serious offence. The ICAC would follow up on breaches of such offence in a serious manner.”No further comment will be made at this stage as investigations are ongoing.Notes:1. Please see the joint press release of the SFC and the ICAC dated 10 November 2022 (www.icac.org.hk/en/press/index_id_1469.html).2. Under section 382 of the Securities and Futures Ordinance (SFO), it is a criminal offence if a person, without reasonable excuse, obstructs the SFC in performance of the statutory vested by the SFO. The maximum penalty on indictment is two years imprisonment and a fine of HK$1 million. Under section 101I of the Criminal Procedure Ordinance, if a person is convicted of an offence of perverting the course of justice at common law, he shall be liable to be sentenced at the discretion of the court to imprisonment for any term and a fine of any amount. 13
Mar 2023Man charged by ICAC with bribing CVC nurse over COVID-19 jab recordA man was charged by the ICAC today (March 13) for allegedly bribing a nurse of a Community Vaccination Centre (CVC) with $1,000 for obtaining a vaccination record without inoculating the COVID-19 vaccine.Cheung Chin-hang, 25, community health practitioner of a District Health Centre, faces one count of offering an advantage to an agent, contrary to section 9(2) of the Prevention of Bribery Ordinance. He was released on ICAC bail, pending his appearance at the West Kowloon Magistrates’ Courts on Wednesday (March 15) for plea.At that time, the defendant worked at a District Health Centre under the Health Bureau, which was a government designated healthcare premises subject to the Vaccine Pass Arrangement. In order to enter his workplace, he was required to comply with the arrangement by receiving designated doses of COVID-19 vaccine or possessing a valid medical exemption certificate.On September 21, 2022, the defendant visited Osman Ramju Sadick Memorial Sports Center CVC operated by Quality HealthCare Medical Services Limited (QHMS) and allegedly offered $1,000 to an enrolled nurse for issuing a vaccination record without inoculating the COVID-19 vaccine.The nurse declined the offer and reported the matter to QHMS.QHMS and the Department of Health have rendered full assistance to the ICAC during its investigation. 10
Mar 2023Four charged by ICAC with accepting $430,000 bribes from Third Runway Project construction workersFour former site team leaders of a sub-contractor of the Third Runway Project of the Hong Kong International Airport (Third Runway Project) were charged by the ICAC today (March 10) with soliciting and accepting illegal rebates totalling about $430,000 from around 40 riggers, bar-benders and carpenters in relation to their employment with the sub-contractor. Arising from the relevant investigation, the ICAC has so far charged a total of 21 people.The ICAC had taken a series of enforcement actions against illicit acceptance of illegal rebates from construction workers of Third Runway Project since 2021, leading to the prosecution of 17 people earlier for alleged acceptance of illegal rebates from over 25 construction workers. As the relevant corruption investigation is continuing, the ICAC does not rule out further law enforcement actions.An ICAC spokesperson urges construction workers not to tolerate corruption. Should they be asked to pay illegal rebates in exchange for their employment, they should report to the ICAC immediately. Report corruption hotline: 25 266 366.Upon receipt of further legal advice from the Department of Justice, the ICAC today charged four former site team leaders of a sub-contractor of the Third Runway Project in separate cases. The defendants face a total of 29 charges – 20 of agent accepting an advantage; five of conspiracy for agents to accept advantages; and four of agent soliciting an advantage. They were released on ICAC bail, pending their appearance in the West Kowloon Magistrates’ Courts next Tuesday (March 14) for plea.At the material time, MLife Engineering Limited (MEL) was a sub-contractor of the Third Runway Project responsible for recruiting construction workers to conduct various works.In the first case which took place between August 2020 and March 2021, Liu Yin-man, 62, former leader of a team of riggers of MEL, allegedly conspired together with another team leader and various riggers for him and the team leader to receive illegal rebates of about $230,000 from 29 riggers.Former leader of a team of bar benders of MEL Wong Hei, 51, was charged in a separate case which took place between March 2020 and July 2021. It is alleged that Wong conspired with four bar benders respectively to accept illegal rebates totalling about $120,000 from the latter. It is further alleged that Wong accepted $1,000 and solicited illegal rebates in relation to 55 working days from two of the bar benders respectively, and received from another bar bender illegal rebate of $1,300.The third case took place between September 2020 and March 2021. Former leader of a team of bar benders of MEL Ip Ying-lam, 40, allegedly accepted from a bar bender and a general worker illegal rebate of over $55,000 and $3,900 respectively.Another case took place between June 2021 and March 2022. It is alleged that former leader of a team of carpenters of MEL Mok Pak-cheung, 62, solicited from two carpenters illegal rebates of $200 to $400 per working day, and received illegal rebate of $20,000 from one of them.ICAC investigation revealed that the four defendants allegedly solicited and accepted illegal rebates from workers for assisting them to secure or continue their employment with MEL.The Airport Authority Hong Kong, the relevant main contractor SAPR JV and MEL had rendered full assistance to the ICAC during its investigation into the case.Among the 17 former employees of the main contractor and a sub-contractor of the Third Runway Project charged earlier, 11 had pleaded guilty or were found guilty after trial, receiving sentences up 10 months in jail. Five others are awaiting trial, while the prosecution offered no evidence to the charge against a defendant. 09
Mar 2023Man jailed for conspiracy to commit money laundering revealed in ICAC probe into impersonation phone scamFollowing the receipt of a complaint alleging impersonation of ICAC officers in phone scams, the Commission concluded an investigation and revealed that a man was suspected to have received a few hundred RMB for visiting Hong Kong to open a bank account, which was subsequently operated by others to handle payments in phone scams. The man, charged by the ICAC earlier, was sentenced to four months’ imprisonment after pleading guilty to conspiracy to commit money laundering at the Kowloon City Magistrates’ Courts today (March 9).Huang Jianli, 31, pleaded guilty to one count of conspiracy to deal 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.In sentencing, Acting Principal Magistrate Peony Wong Nga-yan said the case involved extraterritorial element despite the period of defendant’s criminal involvement was not long and the amount of crime proceeds was not the highest among same nature of cases. Having considered the defendant’s guilty plea, his jail term was reduced to four months from a starting point of six months’ imprisonment.The court heard that between 2018 and February 2019, the defendant conspired with others to handle four sums of Hong Kong dollar, Singaporean dollar and United States dollar, totalling about HK$180,000, in his bank account at Bank of China (Hong Kong) Limited (BOCHK).The investigation arose from a complaint filed with the ICAC alleging impersonation of the Commission’s officers in phone scams. It was revealed that in 2018, the defendant accepted others’ arrangement to visit Hong Kong for opening a bank account at BOCHK and to let others operate it in exchange for RMB 900. When he acceded to the deal, he knew or had reasonable grounds to believe that the account would be used illegally to launder crime proceeds.Enquiries also revealed that scammers allegedly asked phone scam victims to deposit the four sums of money into the defendant’s bank account, purportedly for asset clearance or investigation.An ICAC spokesperson stresses that the Commission would not request members of the public to make transfers to designated bank accounts for asset clearance or investigation. Should members of the public receive any transfer requests made by people claimed to be ICAC officers, they are urged not to follow such instructions and report the matter to the ICAC at its hotline: 25 266 366.BOCHK has rendered full assistance to the ICAC during its investigation into the case.The prosecution was represented by ICAC officer Simon Liu.