Ex-jewellery company employee jailed for bribery over renovation works

2011-9-26

A former employee of a jewellery chain, charged by the ICAC, was today (Monday) sentenced to seven months’ imprisonment at Kwun Tong Magistracy for accepting bribes totalling $215,443 for awarding renovation and maintenance contracts to an engineering company.

Kwong Chi-hang, 46, a former senior project officer of Luk Fook Holdings Company Limited (Luk Fook), was also ordered to pay a restitution of $150,000 to the government.

In sentencing, Magistrate So Wai-tak remarked that he had to impose a custodial sentence on the defendant in view of the seriousness of the bribery offences.

The defendant today pleaded guilty to two counts of agent accepting an advantage, contrary to Section 9(1)(a) of the Prevention of Bribery Ordinance.

The court heard that at the material time, the defendant was responsible for obtaining quotations from contractors and awarding contracts of renovation or maintenance works for Luk Fook’s jewellery retail shops and office premises.

Co-defendants Kan Wai-keung, 48; and Yeung Wing-sing, 44, were respectively the proprietor and business partner of Shun Cheong Engineering Company (Shun Cheong).

In June 2008, Luk Fook decided to hire a new renovation and maintenance contractor. Kwong then contacted Yeung and the duo reached an agreement in July or August 2008, whereby Shun Cheong would offer rebates calculated at a certain percentage of the cont ract sum to Kwong.

The court heard that in September 2008, Luk Fook and Shun Cheong signed a one-year maintenance contract. Between June and October 2008, Kwong accepted a total of $8,833 from Yeung.

Kan and Yeung ended their partnership in November 2008. Since then, Kan had been paying commissions to Kwong directly, the court was told.

Between November 2008 and June 2010, Kan had paid a total of $206,610 to Kwong in return for renovation and maintenance contracts from Luk Fook.

Kan and Yeung had earlier pleaded guilty to a total of three counts of offering an advantage to an agent. The court has adjourned sentencing to September 30 (Friday).

Luk Fook prohibited its employees from soliciting or accepting any advantages in relation to the company’s business.

The prosecution was today represented by prosecuting counsel Steven Kwan, assisted by ICAC officer Wilson Tang.
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