Ex-staff of department store jailed for bribery and fraud over computer purchase
2006-10-12
Two former staff of a department store, charged by the ICAC, were today (Thursday) given prison terms at District Court for bribery and fraud in relation to the purchase of computer and related equipment.
Chan Ka-chuen, 42, former manager of Sincere Company Limited (Sincere), was earlier found guilty of two counts of agent accepting advantages and two of fraud. He was sentenced to an imprisonment of two years and four months, and was also ordered to pay S incere $106,100 in restitution.
Co-defendant Shaw Yuk-wing, 31, former analyst programmer of Sincere, who earlier pleaded guilty to two counts of offering advantages to an agent and two of fraud, was jailed for one year and four months.
In sentencing, Deputy Judge Pang Chung-ping said the bribery and fraud offences committed by the defendants were serious and constituted a breach of trust. Custodial sentences were thus imposed, the judge said.
The defendants were arrested by the ICAC during a corruption inquiry in October last year. The management of Sincere rendered full assistance to the ICAC in its investigation.
The court heard that at the time of the offences, Chan was responsible for approving competitive quotations and monitor the accuracy of invoices submitted by Shaw in relation to the purchase of computer hardware and software products.
Since March 2004, Shaw submitted to Sincere quotations and invoices of Sky Phoenix International Holdings Limited (Sky Phoenix) as a supplier of computer equipment.
In fact, Sky Phoenix was a company controlled by Shaw, who used the company as a sham to deceive Sincere.
The court heard that Shaw had used Sky Phoenix to purchase computer equipment from other suppliers and then re-sold them to Sincere at a profit by marking up the prices.
All quotations and invoices of Sky Phoenix in relation to transactions with Sincere were compiled and signed by Shaw, the court heard.
In January 2005, Shaw began to use another BVI company, I-Auto Inc., as his sham supplier, and engaged in a similar fraudulent scheme to deceive Sincere.
The court heard that as a result, Shaw had deceived Sincere a total of $970,000.
The court also heard that between June 2004 and October 2005, Chan had accepted from Shaw bribe payments totalling $106,100 for conniving at the scam.
Sincere forbids its employees to offer or accept bribes, and prohibits them from using insider information in selecting suppliers.
The prosecution was today represented by prosecuting counsel Ian Llyod, assisted by ICAC officer Simon Law.
Chan Ka-chuen, 42, former manager of Sincere Company Limited (Sincere), was earlier found guilty of two counts of agent accepting advantages and two of fraud. He was sentenced to an imprisonment of two years and four months, and was also ordered to pay S incere $106,100 in restitution.
Co-defendant Shaw Yuk-wing, 31, former analyst programmer of Sincere, who earlier pleaded guilty to two counts of offering advantages to an agent and two of fraud, was jailed for one year and four months.
In sentencing, Deputy Judge Pang Chung-ping said the bribery and fraud offences committed by the defendants were serious and constituted a breach of trust. Custodial sentences were thus imposed, the judge said.
The defendants were arrested by the ICAC during a corruption inquiry in October last year. The management of Sincere rendered full assistance to the ICAC in its investigation.
The court heard that at the time of the offences, Chan was responsible for approving competitive quotations and monitor the accuracy of invoices submitted by Shaw in relation to the purchase of computer hardware and software products.
Since March 2004, Shaw submitted to Sincere quotations and invoices of Sky Phoenix International Holdings Limited (Sky Phoenix) as a supplier of computer equipment.
In fact, Sky Phoenix was a company controlled by Shaw, who used the company as a sham to deceive Sincere.
The court heard that Shaw had used Sky Phoenix to purchase computer equipment from other suppliers and then re-sold them to Sincere at a profit by marking up the prices.
All quotations and invoices of Sky Phoenix in relation to transactions with Sincere were compiled and signed by Shaw, the court heard.
In January 2005, Shaw began to use another BVI company, I-Auto Inc., as his sham supplier, and engaged in a similar fraudulent scheme to deceive Sincere.
The court heard that as a result, Shaw had deceived Sincere a total of $970,000.
The court also heard that between June 2004 and October 2005, Chan had accepted from Shaw bribe payments totalling $106,100 for conniving at the scam.
Sincere forbids its employees to offer or accept bribes, and prohibits them from using insider information in selecting suppliers.
The prosecution was today represented by prosecuting counsel Ian Llyod, assisted by ICAC officer Simon Law.