Securities brokers charged with bribery for arranging clients to use trading programme
2021-8-4
The ICAC today (August 4) charged two brokers of a securities firm with bribery involving bribe payments and gifts totalling over $197,000 for arranging clients of the securities firm to use a futures trading programme provided by a computer company.
The ICAC investigation arose from a corruption complaint. Upon completion of the investigation, the ICAC sought legal advice from the Department of Justice, which advised charges be preferred against the duo.
Lam Ching-chiu, 39, and Wong Siu-fung, formerly known as Wong Sze-lap, 35, both securities brokers of Glory Sky Global Markets Limited (Glory Sky), jointly face two counts of conspiracy for an agent to accept an advantage, contrary to Section 9(1)(a) of the Prevention of Bribery Ordinance (POBO) and Section 159A of the Crimes Ordinance.
Lam alone faces one count of offering an advantage to an agent, contrary to Section 9(2)(a) of the POBO, while Wong further faces two similar charges.
The defendants have been released on ICAC bail, pending their appearance in the West Kowloon Magistrates’ Courts on Friday (August 6) for the case to be transferred to the District Court for plea.
At the material time, Hong Kong Financial Engineering Company Limited (HK Financial Engineering) provided securities account management service by way of a computer programme which would automatically place orders for buying or selling futures in order to generate profits within a short period of time. HK Financial Engineering would charge their clients service fees out of the profit generated from the programme.
Lam and Wong were both licensed agents of Glory Sky, a licensed financial institute. Wong was a subordinate of Lam.
Two of the charges allege that between an unknown date in November 2014 and February 18, 2015, Lam and Wong conspired with the then chief executive officer (CEO) of HK Financial Engineering for Wong to, without lawful authority or reasonable excuse, accept from the CEO commissions totalling over $125,500 as an inducement to or reward for Wong to assist and arrange two of his clients to engage the service provided by HK Financial Engineering.
Another charge alleges that between an unknown date in December 2014 and February 16, 2015, Lam, without lawful authority or reasonable excuse, offered $60,000 to $70,000 to staff members of HK Financial Engineering as an inducement to or reward for them to assist and arrange HK Financial Engineering to provide the service to clients of Lam.
The remaining two charges allege that on or about December 18 and an unknown date in December 2014, Wong, without lawful authority or reasonable excuse, respectively offered a cosmetic products amounting to $12,500 and a mobile phone to the aforesaid CEO of HK Financial Engineering as an inducement to or reward for the CEO to assist and arrange HK Financial Engineering to provide the service to clients of Wong.
HK Financial Engineering has rendered assistance to the ICAC during its investigation into the case.
The ICAC investigation arose from a corruption complaint. Upon completion of the investigation, the ICAC sought legal advice from the Department of Justice, which advised charges be preferred against the duo.
Lam Ching-chiu, 39, and Wong Siu-fung, formerly known as Wong Sze-lap, 35, both securities brokers of Glory Sky Global Markets Limited (Glory Sky), jointly face two counts of conspiracy for an agent to accept an advantage, contrary to Section 9(1)(a) of the Prevention of Bribery Ordinance (POBO) and Section 159A of the Crimes Ordinance.
Lam alone faces one count of offering an advantage to an agent, contrary to Section 9(2)(a) of the POBO, while Wong further faces two similar charges.
The defendants have been released on ICAC bail, pending their appearance in the West Kowloon Magistrates’ Courts on Friday (August 6) for the case to be transferred to the District Court for plea.
At the material time, Hong Kong Financial Engineering Company Limited (HK Financial Engineering) provided securities account management service by way of a computer programme which would automatically place orders for buying or selling futures in order to generate profits within a short period of time. HK Financial Engineering would charge their clients service fees out of the profit generated from the programme.
Lam and Wong were both licensed agents of Glory Sky, a licensed financial institute. Wong was a subordinate of Lam.
Two of the charges allege that between an unknown date in November 2014 and February 18, 2015, Lam and Wong conspired with the then chief executive officer (CEO) of HK Financial Engineering for Wong to, without lawful authority or reasonable excuse, accept from the CEO commissions totalling over $125,500 as an inducement to or reward for Wong to assist and arrange two of his clients to engage the service provided by HK Financial Engineering.
Another charge alleges that between an unknown date in December 2014 and February 16, 2015, Lam, without lawful authority or reasonable excuse, offered $60,000 to $70,000 to staff members of HK Financial Engineering as an inducement to or reward for them to assist and arrange HK Financial Engineering to provide the service to clients of Lam.
The remaining two charges allege that on or about December 18 and an unknown date in December 2014, Wong, without lawful authority or reasonable excuse, respectively offered a cosmetic products amounting to $12,500 and a mobile phone to the aforesaid CEO of HK Financial Engineering as an inducement to or reward for the CEO to assist and arrange HK Financial Engineering to provide the service to clients of Wong.
HK Financial Engineering has rendered assistance to the ICAC during its investigation into the case.