Facts

Issues of concern

LAM's including brothers's contractor company, XYZ, into the approved list

Conflict of interest

Inappropriate exercise of
discretion

LAM's revealing quotation prices to brother

Unauthorised release of market sensitive information

LAM's making up other competing quotations

Forgery

LAM's circumventing the proper tendering process

Dishonesty in discharge of duties

Acquisition of shares of XYZ Company by LAM's wife

Serious conflict of interest

LAM's giving favourable recommendations leading to award of contracts to XYZ

Abuse of authority

Corruption

Analysis

Even if LAM has followed proper procedures in including his brother's company into the approved list, he should have declared the conflict of interest, i.e. the sibling relationship, to his employer.

It is inappropriate exercise of discretion if he has shown favouritism in including XYZ into his employer\'s approved list.

Analysis

LAM may breach the company\'s code of conduct by revealing the confidential quotation prices to his brother, and will be subject to disciplinary action taken by the company. This is certainly not a behaviour expected of a professional.

Analysis

It is forgery to make up other competing quotations as if a real tendering exercise had taken place.

Analysis

By committing fraud to circumvent the proper tendering process, LAM has abused his authority and failed to live up to the trust placed in him by his employer and his profession.

LAM has to bear the legal consequences of committing fraud.

Analysis

The conflict of interest problem is accentuated as LAM's wife acquires shareholdings in XYZ company. As a professional, LAM should have avoided such conflict of interest. In fact, his wife's acquisition of shares of XYZ company may be the reason why he has taken immense risks to defraud the company in circumventing the proper tendering procedures.

Analysis

LAM has obviously abused his authority by recommending the award of contracts to his own brother\'s contractor company, in which his wife also had a financial interest. He should have declared the conflict to the management.

If it can be proved that Lam accepted an advantage, although in an indirect way (e.g. shares of XYZ possessed by his wife), for helping his brother to get the contracts, he will contravene the Prevention of Bribery Ordinance. He has to bear the legal consequences.

By abusing his authority for gain by himself or his relatives, LAM has totally breached the trust placed in him by his employer and betrayed professionalism.