Ex-shipping manager admits accepting $200,000 illegal rebates
2014-5-8
A former senior shipping manager of a trading company, charged by the ICAC, today (Thursday) admitted at the Kowloon City Magistracy that he had accepted over $200,000 in illegal rebates from an operator of two logistics service companies in relation to t he placing of transportation orders.
Mo Wai-hung, 49, former senior shipping manager of SIU Group Limited (SGL), pleaded guilty to one count of agent accepting an advantage, contrary to Section 9(1)(a) of the Prevention of Bribery Ordinance (POBO), and one of conspiracy for an agent to accep t advantage, contrary to Section 9(1)(a) of the POBO and Section 159A of the Crimes Ordinance.
Principal Magistrate Mr Peter Law Tak-chuen adjourned the case to May 22 this year for sentence, pending a background report. The defendant was remanded in the custody of the Correctional Services Department.
The court heard that at the material time, the defendant was a senior shipping manager of SGL, a trading company engaged in exporting domestic goods to overseas buyers. The defendant was responsible for sourcing logistics service providers, obtaining quo tations, negotiating prices and placing transportation orders with them.
Amongst those providers were two logistics service companies –'96 Infinity Cargo Logistic Limited (ICL) and Infinity Cargo Express Limited (ICEL) –'96 both managed by the same operator.
Pursuant to an offer made by the operator of ICL and ICEL, the defendant agreed to accept advantages for placing logistic orders of SGL with ICL and/or ICEL since January 2008.
The duo agreed that if the quotation prices from ICL and/or ICEL were lower than others, the said operator would inflate the prices and the price differences were treated as rebates to the defendant.
Meanwhile, rebates for air freight orders and sea freight orders were calculated at $1 per kilogramme and $39 per cubic meter of goods transported respectively.
In addition, for full load 20 feet and 40 feet sea freight containers, the rebates were $390 and $780 respectively. The rebates were subsequently increased to $690 and $1,080, the court was told.
The court also heard that between January 1, 2008 and May 24, 2013, the defendant received illegal rebates amounting to over $200,000.
SGL has rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by ICAC officers Samson Lee and Lau Ka-ki.
Mo Wai-hung, 49, former senior shipping manager of SIU Group Limited (SGL), pleaded guilty to one count of agent accepting an advantage, contrary to Section 9(1)(a) of the Prevention of Bribery Ordinance (POBO), and one of conspiracy for an agent to accep t advantage, contrary to Section 9(1)(a) of the POBO and Section 159A of the Crimes Ordinance.
Principal Magistrate Mr Peter Law Tak-chuen adjourned the case to May 22 this year for sentence, pending a background report. The defendant was remanded in the custody of the Correctional Services Department.
The court heard that at the material time, the defendant was a senior shipping manager of SGL, a trading company engaged in exporting domestic goods to overseas buyers. The defendant was responsible for sourcing logistics service providers, obtaining quo tations, negotiating prices and placing transportation orders with them.
Amongst those providers were two logistics service companies –'96 Infinity Cargo Logistic Limited (ICL) and Infinity Cargo Express Limited (ICEL) –'96 both managed by the same operator.
Pursuant to an offer made by the operator of ICL and ICEL, the defendant agreed to accept advantages for placing logistic orders of SGL with ICL and/or ICEL since January 2008.
The duo agreed that if the quotation prices from ICL and/or ICEL were lower than others, the said operator would inflate the prices and the price differences were treated as rebates to the defendant.
Meanwhile, rebates for air freight orders and sea freight orders were calculated at $1 per kilogramme and $39 per cubic meter of goods transported respectively.
In addition, for full load 20 feet and 40 feet sea freight containers, the rebates were $390 and $780 respectively. The rebates were subsequently increased to $690 and $1,080, the court was told.
The court also heard that between January 1, 2008 and May 24, 2013, the defendant received illegal rebates amounting to over $200,000.
SGL has rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by ICAC officers Samson Lee and Lau Ka-ki.