ICAC probe unveils alleged corruption over temple contracts

2002-5-14

Seventeen persons, including three staff members of the Trust Funds, Temples and Cemeteries Section (TFTC) under the Home Affairs Bureau (HAB), were arrested by the ICAC for suspected corruption in awarding maintenance contracts in relation to a number of temples and cemeteries.

The three TFTC staff were its Executive Secretary, an Assistant Secretary and a Maintenance Officer, employed by committees and boards under TFTC purview.

The remaining 14 arrestees included a member of the Chinese Temple Committee (CTC) and his wife, a temple staff and his wife, a businessman and his wife, a quantity surveyor of a surveying firm, two directors of a trading company and five directors of thr ee construction companies.

The arrests were made in an operation code-named " Divine Eagle" commencing yesterday (Monday).

TFTC provides administrative support to various committees, including CTC which supervises the Chinese Temples Fund and maintenance of temple buildings.

The arrested Executive Secretary was alleged to have colluded with his subordinates - an Assistant Secretary and a Maintenance Officer –'96 to accept bribes from various TFTC contractors and bidders for awarding contracts for the maintenance, renovation or operation of various temples and cemeteries.

The CTC member arrested, who was involved in the selection of contractors and subcontractors, was alleged to have conspired with the three TFTC staff to accept bribes.

It was alleged that the bribes included 3% of a contract sum and shareholdings in a timber factory in the Mainland owned by the businessman arrested.

The TFTC Executive Secretary had allegedly accepted $900,000 from the CTC member for not revealing the latter's financial interest in the factory, which supplied building materials to TFTC's contractors and subcontractors.

Other contractors and subcontractors were suspected to have provided free entertainment and sauna services to the TFTC staff, the CTC member and the quantity surveyor, who was alleged to have shown favour to quotations submitted by certain bidders.

HAB rendered full co-operation to the ICAC during its investigation.

Inquiries are continuing.
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