Ex-engineering firm proprietor admits $45m bribery over tender rigging exercises
2015-10-27
A former proprietor of an engineering company, who was charged by the ICAC, admitted at the District Court today (Tuesday) that he had conspired with others to offer about $45 million in bribes to secure consultancy and renovation contracts of two residential estates in Shatin through tender rigging exercises.
Yau Shui-tin, 58, pleaded guilty to four counts of conspiracy to offer an advantage to an agent, contrary to Section 9(2)(a) of the Prevention of Bribery Ordinance and Section 159A of the Crimes Ordinance. Another similar charge against him was ordered to be left on court file.
Judge Josiah Lam Wai-kuen adjourned the case to December 22 this year for mitigation, and granted the defendant bail of $30,000 in cash and $30,000 in cash surety.
The court heard that at the material time, the defendant had engaged in building renovation works for various buildings as he was a proprietor of an engineering company.
In December 2010, the incorporated owners (IO) of Garden Vista, a residential estate in Shatin, resolved to implement a building renovation project.
A then property manager of the management company of Garden Vista requested the defendant to look for consultants and contractors for the renovation project.
To discuss the matter, the defendant asked a shareholder of an architectural firm to arrange a dinner meeting at a restaurant.
Apart from the defendant, the shareholder of the architectural firm, a director of a renovation consultancy firm, a director of a construction company, the then property manager and the then director of the management company and an office bearer of IO of Garden Vista were said to have attended the meeting to discuss tender matters.
The court heard that at the meeting, it was agreed that the then property manager, the then director of the management company and the office bearer of IO of Garden Vista would be respectively given 1%, 6% and 10% of the project sum as rewards for assisting the consultancy firm and the construction company to be engaged in the project.
As a result, the consultancy contract was accordingly awarded at $880,000 in March 2012, with the renovation contract at $262 million in July 2013. Based on the value of the renovation contract, the bribes of 1%, 6% and 10% amounted to about $2.6 million, $15 million and $26 million respectively.
The court also heard that in November 2004, the IO of Ravana Garden, another residential estate in Shatin, resolved to implement a building renovation project.
A member of the renovation sub-committee of the IO of Ravana Garden approached the defendant for finding consultancy firms to bid for the project.
The defendant contacted a manager of a construction company, who then arranged for them to meet a director of another renovation consultancy firm to discuss tender matters at a dinner meeting in another restaurant.
At the meeting, it was agreed that the director of the consultancy firm would offer $600,000 to the renovation sub-committee member for securing the project worth about $30 million, with part of the works subcontracted to the renovation sub-committee member and the defendant, the court was told.
The prosecution was today represented by prosecuting counsel Wong Hay-yiu, assisted by ICAC officer Edwin Tsang.
Yau Shui-tin, 58, pleaded guilty to four counts of conspiracy to offer an advantage to an agent, contrary to Section 9(2)(a) of the Prevention of Bribery Ordinance and Section 159A of the Crimes Ordinance. Another similar charge against him was ordered to be left on court file.
Judge Josiah Lam Wai-kuen adjourned the case to December 22 this year for mitigation, and granted the defendant bail of $30,000 in cash and $30,000 in cash surety.
The court heard that at the material time, the defendant had engaged in building renovation works for various buildings as he was a proprietor of an engineering company.
In December 2010, the incorporated owners (IO) of Garden Vista, a residential estate in Shatin, resolved to implement a building renovation project.
A then property manager of the management company of Garden Vista requested the defendant to look for consultants and contractors for the renovation project.
To discuss the matter, the defendant asked a shareholder of an architectural firm to arrange a dinner meeting at a restaurant.
Apart from the defendant, the shareholder of the architectural firm, a director of a renovation consultancy firm, a director of a construction company, the then property manager and the then director of the management company and an office bearer of IO of Garden Vista were said to have attended the meeting to discuss tender matters.
The court heard that at the meeting, it was agreed that the then property manager, the then director of the management company and the office bearer of IO of Garden Vista would be respectively given 1%, 6% and 10% of the project sum as rewards for assisting the consultancy firm and the construction company to be engaged in the project.
As a result, the consultancy contract was accordingly awarded at $880,000 in March 2012, with the renovation contract at $262 million in July 2013. Based on the value of the renovation contract, the bribes of 1%, 6% and 10% amounted to about $2.6 million, $15 million and $26 million respectively.
The court also heard that in November 2004, the IO of Ravana Garden, another residential estate in Shatin, resolved to implement a building renovation project.
A member of the renovation sub-committee of the IO of Ravana Garden approached the defendant for finding consultancy firms to bid for the project.
The defendant contacted a manager of a construction company, who then arranged for them to meet a director of another renovation consultancy firm to discuss tender matters at a dinner meeting in another restaurant.
At the meeting, it was agreed that the director of the consultancy firm would offer $600,000 to the renovation sub-committee member for securing the project worth about $30 million, with part of the works subcontracted to the renovation sub-committee member and the defendant, the court was told.
The prosecution was today represented by prosecuting counsel Wong Hay-yiu, assisted by ICAC officer Edwin Tsang.