Four charged for alleged roles in $6.5m printing & design orders fraud involving NGO
2019-12-18
Two former employees of a non-governmental organisation (NGO) and two service suppliers have been charged by the ICAC today (December 18) for their alleged roles in deceiving the NGO into awarding printing and design orders worth over $6.5 million by using false quotations.
The defendants are Lee Tze-chiu, 56, former director of special events team of Project Orbis International, Inc (Orbis); Andy Lam Siu-kei, 57, former senior development manager of special events team of Orbis; Eddie Ng Tat-ming, 61, proprietor of Promptitude Printing Co. (Promptitude); and Thomas Kwan Ka-wah, 45, proprietor of Janmex Creation (Janmex).
The defendants face a total of six charges – two of conspiracy to defraud, contrary to Common Law; three of using false instruments, contrary to Section 73 of the Crimes Ordinance; and one of possessing false instruments, contrary to Section 75(1) of the Crimes Ordinance.
The defendants will appear at the Kwun Tong Magistracy on Friday (December 20) for the case to be transferred to the District Court for plea.
The case arose from a corruption complaint referred by Orbis. Subsequent ICAC enquiries revealed the above alleged offences, which took place between January 2013 and May 2018.
At the material time, Lee and Lam were respectively director and senior development manager of special events team of Orbis. The team was responsible for organising and managing all special fund raising events of Orbis in Hong Kong, and conducting procurement exercises for printing and design services.
Ng was the proprietor of Promptitude, which was a printing supplier of Orbis. Kwan was the proprietor of Janmex, a design service supplier of Orbis.
Between January 2013 and November 2017, the special events team conducted procurement exercises for 34 printing and 13 design orders, worth totalling over $6.4 million, for Orbis. Three written quotations were required for comparison for each procurement exercise.
One of the conspiracy charges against Lee and Ng alleges them of conspiring together to defraud Orbis by dishonestly falsely representing that two competing printing companies of Promptitude were offering to supply printed materials for projects of Orbis at higher prices, and to induce Orbis to award those printing orders to Promptitude.
Another charge against Ng alleges that he had in his custody three company chops, including chops of the above two competing printing companies, with the intention that he or another would use them to induce somebody to accept them as genuine.
Another conspiracy charge against Lam and Kwan alleges that the duo conspired together to defraud Orbis by dishonestly falsely representing that two competing design companies of Janmex were offering to provide design services for projects of Orbis at higher prices, and to induce Orbis to award those design orders to Janmex.
In addition, Lam also conducted three procurement exercises for selecting suppliers for three design projects, worth totalling over $140,000, between October 2013 and October 2015.
Three other charges in relation to the three procurement exercises allege Lam of using six false quotations purportedly issued by three other design companies, with the intention of inducing Orbis to accept them as genuine.
Orbis has rendered full assistance to the ICAC during its investigation into the case.
The defendants have been released on ICAC bail, pending their court appearance on Friday.
The defendants are Lee Tze-chiu, 56, former director of special events team of Project Orbis International, Inc (Orbis); Andy Lam Siu-kei, 57, former senior development manager of special events team of Orbis; Eddie Ng Tat-ming, 61, proprietor of Promptitude Printing Co. (Promptitude); and Thomas Kwan Ka-wah, 45, proprietor of Janmex Creation (Janmex).
The defendants face a total of six charges – two of conspiracy to defraud, contrary to Common Law; three of using false instruments, contrary to Section 73 of the Crimes Ordinance; and one of possessing false instruments, contrary to Section 75(1) of the Crimes Ordinance.
The defendants will appear at the Kwun Tong Magistracy on Friday (December 20) for the case to be transferred to the District Court for plea.
The case arose from a corruption complaint referred by Orbis. Subsequent ICAC enquiries revealed the above alleged offences, which took place between January 2013 and May 2018.
At the material time, Lee and Lam were respectively director and senior development manager of special events team of Orbis. The team was responsible for organising and managing all special fund raising events of Orbis in Hong Kong, and conducting procurement exercises for printing and design services.
Ng was the proprietor of Promptitude, which was a printing supplier of Orbis. Kwan was the proprietor of Janmex, a design service supplier of Orbis.
Between January 2013 and November 2017, the special events team conducted procurement exercises for 34 printing and 13 design orders, worth totalling over $6.4 million, for Orbis. Three written quotations were required for comparison for each procurement exercise.
One of the conspiracy charges against Lee and Ng alleges them of conspiring together to defraud Orbis by dishonestly falsely representing that two competing printing companies of Promptitude were offering to supply printed materials for projects of Orbis at higher prices, and to induce Orbis to award those printing orders to Promptitude.
Another charge against Ng alleges that he had in his custody three company chops, including chops of the above two competing printing companies, with the intention that he or another would use them to induce somebody to accept them as genuine.
Another conspiracy charge against Lam and Kwan alleges that the duo conspired together to defraud Orbis by dishonestly falsely representing that two competing design companies of Janmex were offering to provide design services for projects of Orbis at higher prices, and to induce Orbis to award those design orders to Janmex.
In addition, Lam also conducted three procurement exercises for selecting suppliers for three design projects, worth totalling over $140,000, between October 2013 and October 2015.
Three other charges in relation to the three procurement exercises allege Lam of using six false quotations purportedly issued by three other design companies, with the intention of inducing Orbis to accept them as genuine.
Orbis has rendered full assistance to the ICAC during its investigation into the case.
The defendants have been released on ICAC bail, pending their court appearance on Friday.