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Jan 2025Intermediary among five charged by ICAC over $6m SLG loan fraud by conspiracy to submit false payroll records of SMEAn intermediary, the operator and proprietor of a Small and Medium Enterprise (SME) engaging in jewellery business and two others were charged by the ICAC today (January 22) with conspiracy to defraud and conspiracy to launder crime proceeds, following a corruption investigation which revealed that the intermediary had allegedly advised the SME duo to submit false payroll records which induced a bank to grant two loans totalling $6 million under the Special 100% Loan Guarantee (SLG) scheme.The five defendants, aged between 37 and 56, are Li Kei-wing, then director cum shareholder of Corporate Good Doctor Company Limited; Michelle Choi Wai-shan and her elder brother Choi Wai-hang, respectively proprietor and operator of Superl Jade & Jewels Company (Superl Jade & Jewels); and two associates of Li Kei-wing, namely Chik Yiu-hang and Loy Tsz-man. They face two counts of conspiracy to defraud, contrary to Common Law; one count of dealing with property known or believed to represent proceeds of an indictable offence (conspiracy to commit money laundering), contrary to section 25(1) of the Organized and Serious Crimes Ordinance and section 159A of the Crimes Ordinance; and five alternative charges of money laundering.The five defendants were released on ICAC bail, pending their appearance at the Eastern Magistrates’ Courts on Friday (January 24) for mention. The prosecution will later make an application for transferring the case to the District Court for plea.The ICAC investigation arose from a corruption complaint, which subsequently revealed the illicit SLG loans fraud in the present case. SLG scheme was launched by HKMC Insurance Limited (HKMCI) in April 2020 to ease SMEs’ cash flow pressure under the pandemic. Loans approved by lenders were fully guaranteed by the government. At the material time of the present case, the maximum facility amount was the total amount of wages paid by an SME to its employees and its rental payments for 18 months, or $6 million. Applicants were required to provide the lenders with the relevant proofs.The Hongkong and Shanghai Banking Corporation Limited (HSBC) was one of the participating lenders under the scheme. After confirming an application received was legitimate, HSBC would forward the application to HKMCI for final review and approval to grant a guarantee.It is alleged that between late March and mid-April 2021, Li, Michelle Choi, Choi Wai-hang and Chik had conspired together to defraud HSBC and HKMCI by submitting false payroll records of Superl Jade & Jewels in respect of its SLG loan application, and falsely representing to HKMCI that the loan granted would be used to pay wages or provide working capital for business operations of the company, causing HSBC and HKMCI to approve a loan of $5 million to Superl Jade & Jewels.Between mid-April and late May 2021, Li, Michelle Choi and Choi Wai-hang had also allegedly conspired together to deceive HSBC and HKMCI into granting another loan of $1 million to Superl Jade & Jewels by similar fraudulent means.It is also alleged that the five defendants had conspired together to launder crime proceeds in mid-April 2021, after Superl Jade & Jewels was granted the first loan of $5 million. They had allegedly dealt with the loan, knowing that it represented proceeds of an indictable offence. Each of them also faces an alternative charge of money laundering for allegedly transferring the loan granted to Superl Jade & Jewels to their personal bank accounts.ICAC enquiries revealed that Michelle Choi was registered as the proprietor of Superl Jade & Jewels, but the company was operated and owned by her elder brother Choi Wai-hang and it had no employee. Investigation also revealed that in early 2021, Li allegedly suggested the Choi siblings to apply for SLG loans from HSBC with false employee information and Mandatory Provident Fund contribution records to secure a higher loan amount. He also assisted the duo in processing the relevant loan application documents.The HKMCI and HSBC had rendered full assistance to the ICAC during its investigation into the case. 21
Jan 2025Five employees of logistics company charged by ICAC for fraud over $4.5m service charges by concealing conflict of interestFive employees of a logistics company were charged by the ICAC today (January 21) for allegedly deceiving the company into paying service charges totalling over $4.5 million by concealing their interests in various light goods vehicles (LGVs) and arranging others to use those LGVs to take up delivery orders of the company.The five defendants, aged between 39 and 59, face four counts of conspiracy to defraud in total, contrary to Common Law. They were Or Chi-ho, then transportation manager of V-Logic Limited (V-Logic); Tam Lap-kuen and Canny Chan Ka-ming, respectively then and serving delivery team leader of V-Logic; and Ho Wai-man and Tang Weide, both then drivers of the company.The five defendants were released on ICAC bail, pending their appearance at the Eastern Magistrates’ Courts on Thursday (January 23) for mention. The prosecution will later make an application for transferring the case to the District Court for plea.V-Logic, which provides local delivery services, has a team of in-house drivers and another team of outsourced drivers taking up clients’ orders. Between November 2017 and November 2021, Or was promoted to transportation manager of V-Logic while Tam and Chan were delivery team leaders of the company. The trio were mainly responsible for hiring outsourced drivers and assigning delivery jobs of V-Logic to in-house and outsourced drivers. Ho and Tong were in-house drivers of the company.Two of the charges allege that Or, Tam and Chan had conspired together with an outsourced driver of V-Logic to induce the company to pay service charges totalling over $3.2 million by concealing from the company that two LGVs were owned or controlled by the trio and arranging others to register as outsourced drivers of the company and to use those LGVs to take up its delivery orders.Two other charges allege that the five defendants had conspired together with the outsourced driver to conceal Ho and Tang’s beneficial interest in two other LGVs from V-Logic and induced V-Logic to pay service charges totalling about $1.3 million by similar fraudulent means.The ICAC investigation arose from a corruption complaint. Enquiries revealed that Or, Tam and Chan allegedly arranged an outsourced driver of V-Logic to purchase four LGVs and arranged the latter and another person to register as owners of the LGVs with the Transport Department for taking up the orders of V-Logic.Employees of V-Logic are prohibited from assigning the company’s delivery orders to any associated person or arranging any LGVs owned by them to take up its delivery orders. ICAC enquiries revealed that the four LGVs concerned were allegedly controlled by the five defendants, who had never disclosed to the company their interests in the vehicles. As a result, service charges totalling over $4.5 million were paid to the five defendants.V-Logic had rendered full assistance to the ICAC during its investigation into the case.The ICAC advises business organisations to establish clear guidelines and systems of declaration on conflict of interest. Staff members of business organisations are reminded to avoid conflict of interest situations arising in the workplace and to make timely declaration to their employers. Concealing any conflict of interest in relation to one’s official duties to benefit himself or his associates may constitute a breach of the Prevention of Bribery Ordinance or other criminal law. 15
Jan 2025Then team leader of Three-Runway System Project’s subcontractor charged by ICAC for allegedly soliciting bribe from crane operatorA then team leader of a subcontractor of the Three-Runway System Project (3RS Project) of the Hong Kong International Airport was charged by the ICAC today (January 15) for allegedly soliciting a bribe of $100 to $200 per day from a crane operator for continuing his employment. The worker did not resort to bribery.Hui Wai-kwok, 38, then team leader of New Ocean Machine Co., Limited (New Ocean), faces one count of agent soliciting an advantage, contrary to section 9(1)(a) of the Prevention of Bribery Ordinance. He was released on ICAC bail, pending his appearance at the West Kowloon Magistrates’ Courts on Friday (January 17) for plea.At the material time, New Ocean was a crane rental service provider of the 3RS Project. The company prohibited its employees from soliciting or accepting any advantages from others in relation to its business and affairs. The defendant was a team leader of New Ocean responsible for leading a team of crane operators to work at the construction site of the 3RS Project. He had the authority to dismiss workers under his supervision.It is alleged that in early December 2022, the defendant had solicited a bribe of $100 to $200 per day from a worker under his supervision for assisting him to continue his employment with New Ocean.The ICAC investigation arose from a corruption complaint. Enquiries revealed that the worker joined New Ocean in November 2022 at a daily wage of $1,400. He resigned from the company soon after the defendant made solicitation and did not pay bribe.New Ocean rendered full assistance to the ICAC during its investigation into the case. 09
Jan 2025SFC’s then Associate Director charged by ICAC with conspiracy to pervert course of justice for allegedly advising subjects to cope with market manipulation probeA then Associate Director of the Securities and Futures Commission (SFC) was charged by the ICAC today (January 9) with conspiracy to pervert the course of public justice by allegedly providing advice to subjects of an SFC investigation into suspected market manipulation in relation to a listed company on how to conduct themselves in the probe, including destroying potential evidence.Deng Yingxia, 48, then Associate Director of the SFC posted to Market Misconduct Team of Enforcement Division, faces one count of conspiracy to pervert the course of public justice, contrary to the Common Law and section 159A of the Crimes Ordinance. She was released on ICAC bail, pending her appearance at the Eastern Magistrates’ Courts tomorrow (January 10) for mention.The ICAC investigation stemmed from a corruption complaint. After investigation, the ICAC arrested the defendant in an operation jointly carried out with the SFC in April 2024.At the material time, the SFC was investigating suspected false trading and market manipulation activities in relation to China Gas Industry Investment Holdings Company Limited (the Market Manipulation Investigation). The defendant had access to confidential information of the Market Manipulation Investigation, although she did not take part in investigative work. She was not allowed to divulge such confidential information to unauthorised parties.It is alleged that between July 15 and 27, 2022, the defendant had conspired with a subject of the Market Manipulation Investigation to pervert the course of public justice. She had allegedly met with that person and other subjects of the investigation, and provided advice on the possible investigative actions of the SFC and how to cope with the SFC probe, including advising them how to answer possible questions posed by the SFC and advising them to destroy potential evidence.The SFC rendered full assistance to the ICAC during its investigation into the case.The ICAC attaches grave importance to upholding the integrity of Hong Kong’s financial market and has zero tolerance against individuals undermining the fair operation of the market. When it comes to corrupt practices and misconduct involving any public officers, the ICAC will take resolute enforcement actions to uphold justice. 03
Jan 2025Then foreman of Three-Runway System Project subcontractor charged by ICAC for soliciting and accepting bribes from bar-bendersA then foreman of a subcontractor of the Three-Runway System Project (3RS Project) of the Hong Kong International Airport was charged by the ICAC yesterday (January 2) for allegedly soliciting and accepting bribes totalling over $16,000 from three bar-benders of the Terminal 2 expansion work for assisting them to continue their employment and assigning overtime work to earn extra payments.Ko Chun-yin, 31, then foreman of Ho Chau & Sons (HK) Engineering Limited (HCL), faces four counts of agent soliciting an advantage and seven counts of agent accepting an advantage, contrary to section 9(1)(a) of the Prevention of Bribery Ordinance. The defendant was released on ICAC bail, pending his appearance at the West Kowloon Magistrates’ Courts next Monday (January 6) for plea.At the material time, HCL was a subcontractor of the Terminal 2 expansion work of the 3RS Project. The defendant was a foreman of HCL responsible for leading a team of bar-benders and assigning work to them. Should workers be required to work overtime, they would be paid 1.5 to two times of the standard hourly rate. HCL prohibited its employees from soliciting or accepting any advantages from others in relation to its business and affairs.It is alleged that between April 2022 and February 2023, the defendant had respectively solicited from three bar-benders bribes of $100 per working day or an unspecified amount of “tea money” for assisting them to continue their employment with HCL. During the period, the defendant had allegedly accepted bribes totalling $7,300 from the trio.The defendant had also allegedly accepted a bribe of $6,000 from one of the bar-benders for arranging him to perform overtime work to earn extra payments.The ICAC investigation arose from a corruption complaint. Enquiries revealed that the workers believed that the defendant had the authority to dismiss them. The trio reluctantly paid bribes to the defendant as they worried about losing their jobs. One of the workers was dismissed on the spot after he refused to pay a bribe of $3,000 solicited by the defendant.HCL rendered full assistance to the ICAC during its investigation into the case.
Jan 2025Intermediary among five charged by ICAC over $6m SLG loan fraud by conspiracy to submit false payroll records of SMEAn intermediary, the operator and proprietor of a Small and Medium Enterprise (SME) engaging in jewellery business and two others were charged by the ICAC today (January 22) with conspiracy to defraud and conspiracy to launder crime proceeds, following a corruption investigation which revealed that the intermediary had allegedly advised the SME duo to submit false payroll records which induced a bank to grant two loans totalling $6 million under the Special 100% Loan Guarantee (SLG) scheme.The five defendants, aged between 37 and 56, are Li Kei-wing, then director cum shareholder of Corporate Good Doctor Company Limited; Michelle Choi Wai-shan and her elder brother Choi Wai-hang, respectively proprietor and operator of Superl Jade & Jewels Company (Superl Jade & Jewels); and two associates of Li Kei-wing, namely Chik Yiu-hang and Loy Tsz-man. They face two counts of conspiracy to defraud, contrary to Common Law; one count of dealing with property known or believed to represent proceeds of an indictable offence (conspiracy to commit money laundering), contrary to section 25(1) of the Organized and Serious Crimes Ordinance and section 159A of the Crimes Ordinance; and five alternative charges of money laundering.The five defendants were released on ICAC bail, pending their appearance at the Eastern Magistrates’ Courts on Friday (January 24) for mention. The prosecution will later make an application for transferring the case to the District Court for plea.The ICAC investigation arose from a corruption complaint, which subsequently revealed the illicit SLG loans fraud in the present case. SLG scheme was launched by HKMC Insurance Limited (HKMCI) in April 2020 to ease SMEs’ cash flow pressure under the pandemic. Loans approved by lenders were fully guaranteed by the government. At the material time of the present case, the maximum facility amount was the total amount of wages paid by an SME to its employees and its rental payments for 18 months, or $6 million. Applicants were required to provide the lenders with the relevant proofs.The Hongkong and Shanghai Banking Corporation Limited (HSBC) was one of the participating lenders under the scheme. After confirming an application received was legitimate, HSBC would forward the application to HKMCI for final review and approval to grant a guarantee.It is alleged that between late March and mid-April 2021, Li, Michelle Choi, Choi Wai-hang and Chik had conspired together to defraud HSBC and HKMCI by submitting false payroll records of Superl Jade & Jewels in respect of its SLG loan application, and falsely representing to HKMCI that the loan granted would be used to pay wages or provide working capital for business operations of the company, causing HSBC and HKMCI to approve a loan of $5 million to Superl Jade & Jewels.Between mid-April and late May 2021, Li, Michelle Choi and Choi Wai-hang had also allegedly conspired together to deceive HSBC and HKMCI into granting another loan of $1 million to Superl Jade & Jewels by similar fraudulent means.It is also alleged that the five defendants had conspired together to launder crime proceeds in mid-April 2021, after Superl Jade & Jewels was granted the first loan of $5 million. They had allegedly dealt with the loan, knowing that it represented proceeds of an indictable offence. Each of them also faces an alternative charge of money laundering for allegedly transferring the loan granted to Superl Jade & Jewels to their personal bank accounts.ICAC enquiries revealed that Michelle Choi was registered as the proprietor of Superl Jade & Jewels, but the company was operated and owned by her elder brother Choi Wai-hang and it had no employee. Investigation also revealed that in early 2021, Li allegedly suggested the Choi siblings to apply for SLG loans from HSBC with false employee information and Mandatory Provident Fund contribution records to secure a higher loan amount. He also assisted the duo in processing the relevant loan application documents.The HKMCI and HSBC had rendered full assistance to the ICAC during its investigation into the case. 21
Jan 2025Five employees of logistics company charged by ICAC for fraud over $4.5m service charges by concealing conflict of interestFive employees of a logistics company were charged by the ICAC today (January 21) for allegedly deceiving the company into paying service charges totalling over $4.5 million by concealing their interests in various light goods vehicles (LGVs) and arranging others to use those LGVs to take up delivery orders of the company.The five defendants, aged between 39 and 59, face four counts of conspiracy to defraud in total, contrary to Common Law. They were Or Chi-ho, then transportation manager of V-Logic Limited (V-Logic); Tam Lap-kuen and Canny Chan Ka-ming, respectively then and serving delivery team leader of V-Logic; and Ho Wai-man and Tang Weide, both then drivers of the company.The five defendants were released on ICAC bail, pending their appearance at the Eastern Magistrates’ Courts on Thursday (January 23) for mention. The prosecution will later make an application for transferring the case to the District Court for plea.V-Logic, which provides local delivery services, has a team of in-house drivers and another team of outsourced drivers taking up clients’ orders. Between November 2017 and November 2021, Or was promoted to transportation manager of V-Logic while Tam and Chan were delivery team leaders of the company. The trio were mainly responsible for hiring outsourced drivers and assigning delivery jobs of V-Logic to in-house and outsourced drivers. Ho and Tong were in-house drivers of the company.Two of the charges allege that Or, Tam and Chan had conspired together with an outsourced driver of V-Logic to induce the company to pay service charges totalling over $3.2 million by concealing from the company that two LGVs were owned or controlled by the trio and arranging others to register as outsourced drivers of the company and to use those LGVs to take up its delivery orders.Two other charges allege that the five defendants had conspired together with the outsourced driver to conceal Ho and Tang’s beneficial interest in two other LGVs from V-Logic and induced V-Logic to pay service charges totalling about $1.3 million by similar fraudulent means.The ICAC investigation arose from a corruption complaint. Enquiries revealed that Or, Tam and Chan allegedly arranged an outsourced driver of V-Logic to purchase four LGVs and arranged the latter and another person to register as owners of the LGVs with the Transport Department for taking up the orders of V-Logic.Employees of V-Logic are prohibited from assigning the company’s delivery orders to any associated person or arranging any LGVs owned by them to take up its delivery orders. ICAC enquiries revealed that the four LGVs concerned were allegedly controlled by the five defendants, who had never disclosed to the company their interests in the vehicles. As a result, service charges totalling over $4.5 million were paid to the five defendants.V-Logic had rendered full assistance to the ICAC during its investigation into the case.The ICAC advises business organisations to establish clear guidelines and systems of declaration on conflict of interest. Staff members of business organisations are reminded to avoid conflict of interest situations arising in the workplace and to make timely declaration to their employers. Concealing any conflict of interest in relation to one’s official duties to benefit himself or his associates may constitute a breach of the Prevention of Bribery Ordinance or other criminal law. 15
Jan 2025Then team leader of Three-Runway System Project’s subcontractor charged by ICAC for allegedly soliciting bribe from crane operatorA then team leader of a subcontractor of the Three-Runway System Project (3RS Project) of the Hong Kong International Airport was charged by the ICAC today (January 15) for allegedly soliciting a bribe of $100 to $200 per day from a crane operator for continuing his employment. The worker did not resort to bribery.Hui Wai-kwok, 38, then team leader of New Ocean Machine Co., Limited (New Ocean), faces one count of agent soliciting an advantage, contrary to section 9(1)(a) of the Prevention of Bribery Ordinance. He was released on ICAC bail, pending his appearance at the West Kowloon Magistrates’ Courts on Friday (January 17) for plea.At the material time, New Ocean was a crane rental service provider of the 3RS Project. The company prohibited its employees from soliciting or accepting any advantages from others in relation to its business and affairs. The defendant was a team leader of New Ocean responsible for leading a team of crane operators to work at the construction site of the 3RS Project. He had the authority to dismiss workers under his supervision.It is alleged that in early December 2022, the defendant had solicited a bribe of $100 to $200 per day from a worker under his supervision for assisting him to continue his employment with New Ocean.The ICAC investigation arose from a corruption complaint. Enquiries revealed that the worker joined New Ocean in November 2022 at a daily wage of $1,400. He resigned from the company soon after the defendant made solicitation and did not pay bribe.New Ocean rendered full assistance to the ICAC during its investigation into the case. 09
Jan 2025SFC’s then Associate Director charged by ICAC with conspiracy to pervert course of justice for allegedly advising subjects to cope with market manipulation probeA then Associate Director of the Securities and Futures Commission (SFC) was charged by the ICAC today (January 9) with conspiracy to pervert the course of public justice by allegedly providing advice to subjects of an SFC investigation into suspected market manipulation in relation to a listed company on how to conduct themselves in the probe, including destroying potential evidence.Deng Yingxia, 48, then Associate Director of the SFC posted to Market Misconduct Team of Enforcement Division, faces one count of conspiracy to pervert the course of public justice, contrary to the Common Law and section 159A of the Crimes Ordinance. She was released on ICAC bail, pending her appearance at the Eastern Magistrates’ Courts tomorrow (January 10) for mention.The ICAC investigation stemmed from a corruption complaint. After investigation, the ICAC arrested the defendant in an operation jointly carried out with the SFC in April 2024.At the material time, the SFC was investigating suspected false trading and market manipulation activities in relation to China Gas Industry Investment Holdings Company Limited (the Market Manipulation Investigation). The defendant had access to confidential information of the Market Manipulation Investigation, although she did not take part in investigative work. She was not allowed to divulge such confidential information to unauthorised parties.It is alleged that between July 15 and 27, 2022, the defendant had conspired with a subject of the Market Manipulation Investigation to pervert the course of public justice. She had allegedly met with that person and other subjects of the investigation, and provided advice on the possible investigative actions of the SFC and how to cope with the SFC probe, including advising them how to answer possible questions posed by the SFC and advising them to destroy potential evidence.The SFC rendered full assistance to the ICAC during its investigation into the case.The ICAC attaches grave importance to upholding the integrity of Hong Kong’s financial market and has zero tolerance against individuals undermining the fair operation of the market. When it comes to corrupt practices and misconduct involving any public officers, the ICAC will take resolute enforcement actions to uphold justice. 03
Jan 2025Then foreman of Three-Runway System Project subcontractor charged by ICAC for soliciting and accepting bribes from bar-bendersA then foreman of a subcontractor of the Three-Runway System Project (3RS Project) of the Hong Kong International Airport was charged by the ICAC yesterday (January 2) for allegedly soliciting and accepting bribes totalling over $16,000 from three bar-benders of the Terminal 2 expansion work for assisting them to continue their employment and assigning overtime work to earn extra payments.Ko Chun-yin, 31, then foreman of Ho Chau & Sons (HK) Engineering Limited (HCL), faces four counts of agent soliciting an advantage and seven counts of agent accepting an advantage, contrary to section 9(1)(a) of the Prevention of Bribery Ordinance. The defendant was released on ICAC bail, pending his appearance at the West Kowloon Magistrates’ Courts next Monday (January 6) for plea.At the material time, HCL was a subcontractor of the Terminal 2 expansion work of the 3RS Project. The defendant was a foreman of HCL responsible for leading a team of bar-benders and assigning work to them. Should workers be required to work overtime, they would be paid 1.5 to two times of the standard hourly rate. HCL prohibited its employees from soliciting or accepting any advantages from others in relation to its business and affairs.It is alleged that between April 2022 and February 2023, the defendant had respectively solicited from three bar-benders bribes of $100 per working day or an unspecified amount of “tea money” for assisting them to continue their employment with HCL. During the period, the defendant had allegedly accepted bribes totalling $7,300 from the trio.The defendant had also allegedly accepted a bribe of $6,000 from one of the bar-benders for arranging him to perform overtime work to earn extra payments.The ICAC investigation arose from a corruption complaint. Enquiries revealed that the workers believed that the defendant had the authority to dismiss them. The trio reluctantly paid bribes to the defendant as they worried about losing their jobs. One of the workers was dismissed on the spot after he refused to pay a bribe of $3,000 solicited by the defendant.HCL rendered full assistance to the ICAC during its investigation into the case.