Solicitor and two others guilty of deceiving $5.9m with false standby L/Cs
2006-6-9
A solicitor and two other persons, charged by the ICAC, were today (Friday) convicted at the District Court of their roles in a fraudulent scheme to swindle $5.93 million with bogus standby Letters of Credit (L/Cs).
Chan Nai-keung, 55, proprietor of Paul Chan & Co. Solicitors (Paul Chan & Co.); Chiang Pak-yeung, 51, law clerk of Paul Chan & Co.; and Lee Kwok-on, 38, proprietor of Leading Group Investment Enterprise (Leading Group), were found guilty of a total of six offences, which took place between March 2004 and January 2005.
Deputy Judge Symon Wong adjourned the case until next Wednesday (June 14) for sentence, and remanded the defendants in the custody of the Correctional Services Department.
The case arose from a corruption complaint. Subsequent ICAC inquiries revealed the offences.
Chan and Chiang were convicted of three counts of conspiring with other persons to defraud three Mainland companies.
They together with other co-defendants falsely represented that International Finance Trading Company (International Finance) had agreed to arrange standby L/Cs for the use of those Mainland companies.
As a result of the false representation, those Mainland companies were misled into depositing with Paul Chan & Co. stake money totalling $3.59 million, which was subsequently pocketed by the defendants.
Chan, Chiang and Lee were convicted of a similar offence of conspiring with other persons to defraud another Mainland company of stake money totalling $1.17 million with a copy of a false standby L/C and a copy of a false cashier order involving Leading G roup.
Lee alone was found guilty of one count of dealing with the above $1.17 million, knowing that the sum represented the proceeds of an indictable offence.
Chan and Chiang were also convicted of another offence of conspiracy to defraud a fifth Mainland company of stake money totalling $1.17 million with a copy of a false standby L/C and a copy of a false cashier order involving Wah Shun Investment Enterprise Co. (Wah Shun).
Six co-defendants, who were also charged in connection with the case, were Zhong Pei-hong, 44, proprietor of Wah Shun; Lam Chun, 36, a merchant; Andy Chan Man-chun, 31, a worker; Albert Lee Tai-sang, 47, and Lui Chung-yee, 47, both unemployed; and Collins Lee Chi-wing, 49, proprietor of International Finance.
Zhong, Lam, Andy Chan, Lee Tai-sang and Lee Chi-wing had pleaded guilty to their roles in the case. Lui had absconded whilst on court bail, and a warrant for his arrest was issued by the court.
Zhong and Lam each received a jail term of 12 months, while Andy Chan was jailed for eight months. Lee Tai-sang and Lee Chi-wing will also be sentenced next Wednesday.
The prosecution was today represented by Thomas Iu, counsel on fiat, assisted by ICAC officer Stella Leung.
Chan Nai-keung, 55, proprietor of Paul Chan & Co. Solicitors (Paul Chan & Co.); Chiang Pak-yeung, 51, law clerk of Paul Chan & Co.; and Lee Kwok-on, 38, proprietor of Leading Group Investment Enterprise (Leading Group), were found guilty of a total of six offences, which took place between March 2004 and January 2005.
Deputy Judge Symon Wong adjourned the case until next Wednesday (June 14) for sentence, and remanded the defendants in the custody of the Correctional Services Department.
The case arose from a corruption complaint. Subsequent ICAC inquiries revealed the offences.
Chan and Chiang were convicted of three counts of conspiring with other persons to defraud three Mainland companies.
They together with other co-defendants falsely represented that International Finance Trading Company (International Finance) had agreed to arrange standby L/Cs for the use of those Mainland companies.
As a result of the false representation, those Mainland companies were misled into depositing with Paul Chan & Co. stake money totalling $3.59 million, which was subsequently pocketed by the defendants.
Chan, Chiang and Lee were convicted of a similar offence of conspiring with other persons to defraud another Mainland company of stake money totalling $1.17 million with a copy of a false standby L/C and a copy of a false cashier order involving Leading G roup.
Lee alone was found guilty of one count of dealing with the above $1.17 million, knowing that the sum represented the proceeds of an indictable offence.
Chan and Chiang were also convicted of another offence of conspiracy to defraud a fifth Mainland company of stake money totalling $1.17 million with a copy of a false standby L/C and a copy of a false cashier order involving Wah Shun Investment Enterprise Co. (Wah Shun).
Six co-defendants, who were also charged in connection with the case, were Zhong Pei-hong, 44, proprietor of Wah Shun; Lam Chun, 36, a merchant; Andy Chan Man-chun, 31, a worker; Albert Lee Tai-sang, 47, and Lui Chung-yee, 47, both unemployed; and Collins Lee Chi-wing, 49, proprietor of International Finance.
Zhong, Lam, Andy Chan, Lee Tai-sang and Lee Chi-wing had pleaded guilty to their roles in the case. Lui had absconded whilst on court bail, and a warrant for his arrest was issued by the court.
Zhong and Lam each received a jail term of 12 months, while Andy Chan was jailed for eight months. Lee Tai-sang and Lee Chi-wing will also be sentenced next Wednesday.
The prosecution was today represented by Thomas Iu, counsel on fiat, assisted by ICAC officer Stella Leung.