Duo in court for alleged $3.3m loans fraud and money laundering
2014-7-11
The proprietor and a former merchandiser of a trading company appeared in the Kwun Tong Magistracy today (Friday) after being charged by the ICAC with defrauding bank loans totalling over $3.3 million and laundering those crime proceeds respectively.
Chow Chin-fan, 50, proprietor of Honest (HK) Manufacturing Limited (HML), who was charged on Wednesday (July 9), faced a total of six counts of fraud, contrary to Section 16A(1) of the Theft Ordinance.
Also charged on Wednesday was Fok Yuk-kei, 25, former merchandiser of HML, who faced one count of dealing with property known or believed to represent proceeds of an indictable offence, contrary to Section 25(1) of the Organised and Serious Crimes Ordinan ce.
No plea was taken. Principal Magistrate Mr Ernest Lin Kam-hung transferred the case to the District Court for plea on August 1 this year.
The case arose from a corruption complaint. Subsequent ICAC enquiries revealed the above alleged offences.
At the material time, Chow and Fok were respectively the proprietor and merchandiser of HML, which operated shops in tourist areas to sell premiums and gifts. Fok was also the sole director cum shareholder of Joy Diamond Development Limited (JDDL).
Six of the charges alleged that between October 3, 2011 and February 3, 2012, Chow falsely represented to the Standard Chartered Bank (Hong Kong) Limited (SCB) that there were six genuine business transactions as evidenced in six invoices issued by JDDL t o HML, and with intent to defraud, induced SCB to grant six loans totalling over $3.3 million to HML, resulting in prejudice to SCB.
The remaining charge alleged that between August 24, 2011 and February 3, 2012, Fok, with the use of two bank accounts of JDDL, dealt with the above sums of over $3.3 million, knowing or having reasonable grounds to believe that the said sums of money, in whole or in part, directly or indirectly, represented the proceeds of an indictable offence.
Chow and Fok were granted cash bail of $500,000 and $50,000 respectively. They were also ordered not to leave Hong Kong and not to interfere with the prosecution witnesses.
SCB had rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by ICAC officer Jessie Fu.
Chow Chin-fan, 50, proprietor of Honest (HK) Manufacturing Limited (HML), who was charged on Wednesday (July 9), faced a total of six counts of fraud, contrary to Section 16A(1) of the Theft Ordinance.
Also charged on Wednesday was Fok Yuk-kei, 25, former merchandiser of HML, who faced one count of dealing with property known or believed to represent proceeds of an indictable offence, contrary to Section 25(1) of the Organised and Serious Crimes Ordinan ce.
No plea was taken. Principal Magistrate Mr Ernest Lin Kam-hung transferred the case to the District Court for plea on August 1 this year.
The case arose from a corruption complaint. Subsequent ICAC enquiries revealed the above alleged offences.
At the material time, Chow and Fok were respectively the proprietor and merchandiser of HML, which operated shops in tourist areas to sell premiums and gifts. Fok was also the sole director cum shareholder of Joy Diamond Development Limited (JDDL).
Six of the charges alleged that between October 3, 2011 and February 3, 2012, Chow falsely represented to the Standard Chartered Bank (Hong Kong) Limited (SCB) that there were six genuine business transactions as evidenced in six invoices issued by JDDL t o HML, and with intent to defraud, induced SCB to grant six loans totalling over $3.3 million to HML, resulting in prejudice to SCB.
The remaining charge alleged that between August 24, 2011 and February 3, 2012, Fok, with the use of two bank accounts of JDDL, dealt with the above sums of over $3.3 million, knowing or having reasonable grounds to believe that the said sums of money, in whole or in part, directly or indirectly, represented the proceeds of an indictable offence.
Chow and Fok were granted cash bail of $500,000 and $50,000 respectively. They were also ordered not to leave Hong Kong and not to interfere with the prosecution witnesses.
SCB had rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by ICAC officer Jessie Fu.