Former C&E Inspector charged by ICAC admits $1.5m housing allowance fraud
2025-5-29
A former Inspector of the Customs and Excise Department (C&E), charged by the ICAC, today (May 29) admitted at the Eastern Magistrates’ Courts that he had concealed his non-compliance of the relevant live-in requirement under the Home Financing Scheme (HFS) for civil servants to deceive the government into granting him housing allowance totalling over $1.5 million.
Terence Lau Bun, 57, former Inspector of the C&E, pleaded guilty to one count of fraud, contrary to section 16A of the Theft Ordinance.
Deputy Magistrate Miss Chung Wing-sze adjourned the case to June 24 for sentence, pending the defendant’s community service order report. The defendant was granted bail.
The ICAC investigation arose from a corruption complaint referred by the C&E. The court heard that in April 2012, the defendant, who served as C&E Inspector, submitted an application form to the Treasury for Home Financing Allowance and Downpayment Loan at a concessionary interest rate under the HFS for a property he bought in Yau Ma Tei.
The Treasury subsequently granted allowance totalling over $1.5 million and a downpayment loan of $1.21 million to the defendant, and allowed him to make loan repayment with a concessionary interest rate.
According to the scheme, the defendant was required to live in the property as stated in the application and letting or subletting of the property was prohibited. But ICAC enquiries revealed that the defendant defrauded the Treasury between July 2014 and July 2022 by concealing that he and his wife had moved out of the property. The couple did not fulfil the live-in requirement of the HFS, and the property was even leased to different tenants for profit at the material time.
The Treasury and the C&E had rendered full assistance to the ICAC during its investigation into the case.
The prosecution was today represented by ICAC officer Ken Chek.
Terence Lau Bun, 57, former Inspector of the C&E, pleaded guilty to one count of fraud, contrary to section 16A of the Theft Ordinance.
Deputy Magistrate Miss Chung Wing-sze adjourned the case to June 24 for sentence, pending the defendant’s community service order report. The defendant was granted bail.
The ICAC investigation arose from a corruption complaint referred by the C&E. The court heard that in April 2012, the defendant, who served as C&E Inspector, submitted an application form to the Treasury for Home Financing Allowance and Downpayment Loan at a concessionary interest rate under the HFS for a property he bought in Yau Ma Tei.
The Treasury subsequently granted allowance totalling over $1.5 million and a downpayment loan of $1.21 million to the defendant, and allowed him to make loan repayment with a concessionary interest rate.
According to the scheme, the defendant was required to live in the property as stated in the application and letting or subletting of the property was prohibited. But ICAC enquiries revealed that the defendant defrauded the Treasury between July 2014 and July 2022 by concealing that he and his wife had moved out of the property. The couple did not fulfil the live-in requirement of the HFS, and the property was even leased to different tenants for profit at the material time.
The Treasury and the C&E had rendered full assistance to the ICAC during its investigation into the case.
The prosecution was today represented by ICAC officer Ken Chek.