Ex-US company staff admits accepting HK$11m illegal commissions

2005-11-15

A former employee of a US domestic appliances manufacturer, charged by the ICAC, today (Tuesday) admitted at District Court that he had accepted more than HK$11 million and US$102,000 (about HK$795,600) in illegal commissions from two suppliers.

Thomas Montanye HOFFMAN, 58, formerly employed by Lasko Products, Inc. (Lasko), pleaded guilty to two counts of agent accepting advantages, contrary to Section 9(1)(b) of the Prevention of Bribery Ordinance.

Deputy Judge Bina Chainrai adjourned the case until December 5, 2005 for sentence, pending a background report. The defendant was remanded in the custody of the Correctional Services Department.

The court heard that while employed by Lasko, HOFFMAN was responsible for sourcing different components of Lasko products in Asia, negotiating the prices with suppliers, and arranging for delivery.

Supreme Industrial Motor Limited (Supreme) and Defond Manufacturing Limited (Defond) were component suppliers of Lasko in Hong Kong.

Between May 1993 and November 2001, HOFFMAN accepted more than HK$10.6 million and US$102,000 (about HK$795,600) from Supreme as rewards for procuring business from Lasko for Supreme.

Between June 1996 and June 1999, HOFFMAN accepted over HK$417,000 from Defond for the same reason.

The management of Lasko prohibited its employees from accepting advantages from suppliers doing business with Lasko, the court was told.

The prosecution was today represented by Graeme Mackay, counsel on fiat, assisted by ICAC officer Mon Chan.
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