Father and son wanted by ICAC for alleged $110m L/C fraud
2001-1-15
The San Po Kong Court today (Monday) issued warrants for the arrest of two men, named Li Runquan and Lai Yu-hong, who failed to turn up in court over an alleged $110 million Letters of Credit (L/C) fraud.
On the application of the ICAC, the court also ordered to estreat $2 million cash bail and $1.5 million cash surety of Li, as well as $200,000 cash bail of Lai.
Li Runquan, 54, director of Ultragrace Limited (Ultragrace), and his son Lai Yu-hong, 27, director of Commercial Power Investment Limited (Commercial Power), were charged by the ICAC with a total of five counts of conspiracy to defraud.
Li Runquan is a member of the Standing Committee of the Sanshui City government in Guangdong, while Ultragrace is a window company of Sanshui City.
The charges alleged Li and Lai of conspiring with Chan Wai-lam, Li Yucheng, Yu Wai-tung, Chan Tsz-leung and others to defraud the Bank of China, the Bank of Communications and the Kwangtung Provincial Bank between May 1997 and October 1998.
The defendants were said to have used false documents to apply for a total of 27 L/Cs from the banks. The documents purportedly showed that there were business transactions amongst Ultragrace, Commercial Power, Keep Mount (Holdings) Limited and C&W Devel opment Limited.
The banks subsequently released credit facilities totalling $110 million to the relevant companies.
Li and Lai were scheduled to appear at the San Po Kong Court today, but failed to turn up.
Anyone who has information on their whereabouts or any other information which may lead to their arrests is requested to contact the ICAC on its 24-hour hotline 2526 6366. Information received will be treated in the strictest confidence.
On the application of the ICAC, the court also ordered to estreat $2 million cash bail and $1.5 million cash surety of Li, as well as $200,000 cash bail of Lai.
Li Runquan, 54, director of Ultragrace Limited (Ultragrace), and his son Lai Yu-hong, 27, director of Commercial Power Investment Limited (Commercial Power), were charged by the ICAC with a total of five counts of conspiracy to defraud.
Li Runquan is a member of the Standing Committee of the Sanshui City government in Guangdong, while Ultragrace is a window company of Sanshui City.
The charges alleged Li and Lai of conspiring with Chan Wai-lam, Li Yucheng, Yu Wai-tung, Chan Tsz-leung and others to defraud the Bank of China, the Bank of Communications and the Kwangtung Provincial Bank between May 1997 and October 1998.
The defendants were said to have used false documents to apply for a total of 27 L/Cs from the banks. The documents purportedly showed that there were business transactions amongst Ultragrace, Commercial Power, Keep Mount (Holdings) Limited and C&W Devel opment Limited.
The banks subsequently released credit facilities totalling $110 million to the relevant companies.
Li and Lai were scheduled to appear at the San Po Kong Court today, but failed to turn up.
Anyone who has information on their whereabouts or any other information which may lead to their arrests is requested to contact the ICAC on its 24-hour hotline 2526 6366. Information received will be treated in the strictest confidence.