Manager of CEDD contractor charged by ICAC with fraud over subcontracting $900,000 works
2022-6-15
The ICAC today (June 15) charged a manager of a contractor of the Civil Engineering & Development Department (CEDD) for deceiving the department into releasing payments totalling over $900,000 by falsely representing that the contractor had engaged a qualified subcontractor to carry out the required steelwork for a construction project.
The ICAC investigation arose from a corruption complaint. Upon completion of the investigation, the ICAC sought legal advice from the Department of Justice, which advised charging the defendant.
Simon Tong Sai-man, 74, construction manager of Wing Lee (SK) Construction Company Limited (Wing Lee), faces one count of fraud, contrary to Section 16A of the Theft Ordinance.
The defendant was released on ICAC bail, pending his appearance in the West Kowloon Magistrates’ Courts on Friday (June 17) for plea.
At the material time, the defendant was a construction manager of Wing Lee, which was awarded a construction project by the CEDD at a contract sum of about $69 million. The CEDD had engaged Ove Arup & Partners Hong Kong Limited (Ove Arup) as a consultant to monitor and supervise the project on its behalf.
The contract stipulated that Wing Lee was required to build a walkway with a steel structure cover (the steelwork) and it could only be carried out by a subcontractor which was on the Government’s List of Approved Suppliers of Materials and Specialist Contractors for Public Works under the structural steelwork category (the steelwork specialist list). In addition, Wing Lee was required to supervise the performance of the subcontractor.
The charge alleges that between December 2017 and August 2019, the defendant falsely represented to Ove Arup that Wing Lee had engaged KPa Engineering Limited (KPa Engineering), a subcontractor on the steelwork specialist list, for carrying out the aforesaid steelwork, and with intent to defraud, induced Ove Arup to recommend the CEDD to release payments totalling over $900,000 to Wing Lee.
It is alleged that Wing Lee had never engaged KPa Engineering or any of the subcontractors on the steelwork specialist list to carry out the steelwork concerned.
The CEDD, Ove Arup and KPa Engineering have rendered full assistance to the ICAC during its investigation into the case.
The ICAC investigation arose from a corruption complaint. Upon completion of the investigation, the ICAC sought legal advice from the Department of Justice, which advised charging the defendant.
Simon Tong Sai-man, 74, construction manager of Wing Lee (SK) Construction Company Limited (Wing Lee), faces one count of fraud, contrary to Section 16A of the Theft Ordinance.
The defendant was released on ICAC bail, pending his appearance in the West Kowloon Magistrates’ Courts on Friday (June 17) for plea.
At the material time, the defendant was a construction manager of Wing Lee, which was awarded a construction project by the CEDD at a contract sum of about $69 million. The CEDD had engaged Ove Arup & Partners Hong Kong Limited (Ove Arup) as a consultant to monitor and supervise the project on its behalf.
The contract stipulated that Wing Lee was required to build a walkway with a steel structure cover (the steelwork) and it could only be carried out by a subcontractor which was on the Government’s List of Approved Suppliers of Materials and Specialist Contractors for Public Works under the structural steelwork category (the steelwork specialist list). In addition, Wing Lee was required to supervise the performance of the subcontractor.
The charge alleges that between December 2017 and August 2019, the defendant falsely represented to Ove Arup that Wing Lee had engaged KPa Engineering Limited (KPa Engineering), a subcontractor on the steelwork specialist list, for carrying out the aforesaid steelwork, and with intent to defraud, induced Ove Arup to recommend the CEDD to release payments totalling over $900,000 to Wing Lee.
It is alleged that Wing Lee had never engaged KPa Engineering or any of the subcontractors on the steelwork specialist list to carry out the steelwork concerned.
The CEDD, Ove Arup and KPa Engineering have rendered full assistance to the ICAC during its investigation into the case.