Ex-employee of publishing firm charged by ICAC with $380,000 payments fraud revealed in graft probe
2023-3-20
In the course of a corruption investigation by the ICAC, it was revealed that a former employee of a publishing firm had deceived the firm into making payments totalling about $380,000 to various contractors by fabricating invoices in relation to the republication of books and the relocation works of the firm. The former employee was charged by the Commission with fraud and offences under the anti-bribery law last Friday (March 17).
Hung Cheung-wai, 48, former employee of Chinese Baptist Press (International) Limited (CBP), faces eight charges – four of fraud, contrary to Section 16A of the Theft Ordinance; and two of agent using document with intent to deceive his principal, and two of conspiracy for agent to use document with intent to deceive his principal, contrary to Section 9(3) of the Prevention of Bribery Ordinance and Section 159A of the Crimes Ordinance.
The defendant was released on ICAC bail. He would appear in the Eastern Magistrates’ Courts tomorrow (March 21) for mention, pending the prosecution’s application for transferring the case to the District Court.
Between February 2020 and June 2021, the defendant was an employee of CBP. He was responsible for arranging the production and republication of books, and placing printing and design orders with contractors.
During the period, CBP records showed that there were 61 invoices involving payments totalling about $340,000 in relation to 78 republished books which were issued to CBP by four contractors.
It is alleged that the defendant falsely represented to CBP that the four contractors had completed the editing, typesetting, proofreading and design works of books to induce CBP to pay for those works.
The defendant also allegedly conspired with another contractor to use two sets of false invoices and payment request forms to mislead CBP that the contractor was entitled to service fees totalling $27,000 for completing the printing and typesetting works of three other books.
It is also alleged that the defendant used two sets of false invoices to mislead CBP that one of the contractors had conducted relocation works for CBP on two occasions and was entitled to service fees totalling $11,000.
The ICAC investigation arose from a corruption complaint. Enquiries revealed that the five contractors did not conduct any republication or relocation works for CBP. The operators of four of the contractors were in fact a relative and three friends of the defendant.
CBP has rendered full assistance to the ICAC during its investigation into the case.
Hung Cheung-wai, 48, former employee of Chinese Baptist Press (International) Limited (CBP), faces eight charges – four of fraud, contrary to Section 16A of the Theft Ordinance; and two of agent using document with intent to deceive his principal, and two of conspiracy for agent to use document with intent to deceive his principal, contrary to Section 9(3) of the Prevention of Bribery Ordinance and Section 159A of the Crimes Ordinance.
The defendant was released on ICAC bail. He would appear in the Eastern Magistrates’ Courts tomorrow (March 21) for mention, pending the prosecution’s application for transferring the case to the District Court.
Between February 2020 and June 2021, the defendant was an employee of CBP. He was responsible for arranging the production and republication of books, and placing printing and design orders with contractors.
During the period, CBP records showed that there were 61 invoices involving payments totalling about $340,000 in relation to 78 republished books which were issued to CBP by four contractors.
It is alleged that the defendant falsely represented to CBP that the four contractors had completed the editing, typesetting, proofreading and design works of books to induce CBP to pay for those works.
The defendant also allegedly conspired with another contractor to use two sets of false invoices and payment request forms to mislead CBP that the contractor was entitled to service fees totalling $27,000 for completing the printing and typesetting works of three other books.
It is also alleged that the defendant used two sets of false invoices to mislead CBP that one of the contractors had conducted relocation works for CBP on two occasions and was entitled to service fees totalling $11,000.
The ICAC investigation arose from a corruption complaint. Enquiries revealed that the five contractors did not conduct any republication or relocation works for CBP. The operators of four of the contractors were in fact a relative and three friends of the defendant.
CBP has rendered full assistance to the ICAC during its investigation into the case.