ICAC cracks electric meter tampering syndicate in graft probe
2001-10-31
The ICAC has smashed a syndicate involved in the tampering of electric meters for a number of residential and commercial account holders throughout the territory allegedly with the corrupt assistance of some electricity company staff.
It was suspected that the tampering activities had caused a monthly loss totalling about $250,000 to the Hong Kong Electric Company Limited (HKE) and CLP Power Hong Kong Limited (CLP).
Twenty-seven persons, including two suspected masterminds of the syndicate who are electric technicians, were arrested in an operation codenamed " Cascade" , which commenced on Monday (October 29).
Other arrestees are five middlemen and 20 "clients" of the syndicate, who are either residential or commercial account holders including some restaurants, fast food shops, nightclubs, optical shops and canteens on Hong Kong Island, Kowloon and the New Ter ritories.
The investigation arose from referrals from CLP and the Police, which suspected corruption was involved in facilitating the tampering of electric meters.
Preliminary enquiries by CLP confirmed that there were irregularities in the readings of electric meters of some account holders.
The middlemen allegedly referred interested "clients" to the syndicate for monetary rewards.
It is alleged that the syndicate charged about $1,500 to $2,500 for tampering with the electric meter of a residential account holder, while a commercial account holder would pay the syndicate several thousand dollars to $50,000.
After the meters were tampered, there were drastic reductions in electricity consumption of the accounts involved, causing HKE and CLP to lose a significant sum of electricity charges.
HKE and CLP rendered full assistance to the ICAC during its investigation. A CLP technician was interviewed during the operation, but no staff of the two electricity companies have been arrested so far.
Eleven of the arrestees are being detained by the ICAC, while the rest have been released on ICAC bail.
Enquiries into the corruption allegation are continuing.
It was suspected that the tampering activities had caused a monthly loss totalling about $250,000 to the Hong Kong Electric Company Limited (HKE) and CLP Power Hong Kong Limited (CLP).
Twenty-seven persons, including two suspected masterminds of the syndicate who are electric technicians, were arrested in an operation codenamed " Cascade" , which commenced on Monday (October 29).
Other arrestees are five middlemen and 20 "clients" of the syndicate, who are either residential or commercial account holders including some restaurants, fast food shops, nightclubs, optical shops and canteens on Hong Kong Island, Kowloon and the New Ter ritories.
The investigation arose from referrals from CLP and the Police, which suspected corruption was involved in facilitating the tampering of electric meters.
Preliminary enquiries by CLP confirmed that there were irregularities in the readings of electric meters of some account holders.
The middlemen allegedly referred interested "clients" to the syndicate for monetary rewards.
It is alleged that the syndicate charged about $1,500 to $2,500 for tampering with the electric meter of a residential account holder, while a commercial account holder would pay the syndicate several thousand dollars to $50,000.
After the meters were tampered, there were drastic reductions in electricity consumption of the accounts involved, causing HKE and CLP to lose a significant sum of electricity charges.
HKE and CLP rendered full assistance to the ICAC during its investigation. A CLP technician was interviewed during the operation, but no staff of the two electricity companies have been arrested so far.
Eleven of the arrestees are being detained by the ICAC, while the rest have been released on ICAC bail.
Enquiries into the corruption allegation are continuing.