Housewife gets eight weeks for public rental housing unit fraud
2017-1-3
A housewife, charged by the ICAC, was today (January 3) sentenced to eight weeks’ imprisonment at the Fanling Magistracy for defrauding the Housing Department (HD) by subletting a public rental housing (PRH) unit without paying a premium of over $1.8 million to the department.
Hui Wai-sheung, 53, earlier pleaded guilty to one count of fraud, contrary to Section 16A of the Theft Ordinance, while the prosecution withdrew the charge against her husband Lam Man-wah, 60.
In sentencing, Principal Magistrate Ms Woo Huey-fang said the offence was premeditated. A non-custodial sentence was inappropriate as the sentence ought to reflect the seriousness of the housing fraud.
The magistrate said she reduced the starting point of 15 weeks in jail to eight weeks after taking into account the guilty plea and ill health of Hui, as well as her repayment of over $1.8 million to the HD, being the unpaid premium of the PRH unit concerned.
The case arose from a corruption complaint. Subsequent ICAC enquiries revealed the fraud offence.
The court heard that Hui and Lam applied to the HD for purchasing a PRH unit in Cheung Wah Estate, Fanling under the “Tenants Purchase Scheme” on September 24, 2004.
Staff members of the HD explained to Hui and Lam that under the scheme, the PRH unit was prohibited from being leased out unless they obtained approval from the HD and paid a premium of the unit to the department.
After approving their application, the HD sold the unit to the couple at a consideration of $150,800, which was a discount rate.
At all material times, Hui and Lam had never paid any premium of the unit to the HD. On September 2, 2010, Hui leased out the unit to a tenant at a monthly rent of $3,900. The duo signed a “property temporarily borrow agreement”, which was in fact a “tenancy agreement”.
Since then, the tenant and his wife had lived in the unit, while Hui and Lam lived elsewhere.
The monthly rent was progressively increased to around $4,800 when Hui terminated the tenancy agreement in October 2015.
The court heard that during the rental period of over five years, Hui or Lam went to the unit monthly to collect rent in cash. But neither Hui nor Lam had never given any rental payment receipt to the tenant.
Hui reminded the tenant that if there was any government official visiting the unit, he should say that he was her friend and that he only stayed there for a few days.
In March 2012, a then Housing Officer of the HD was assigned to ascertain if the unit had been illegally leased out by Hui and Lam.
Later, Hui submitted a handwritten letter with supporting documents to the Housing Officer. In the letter, Hui assured the HD that the unit had not been leased out and that she had not received any rent from it.
An Estate Surveyor of the HD stated that the premium of the unit between 2010 and 2015 which ought to have been paid by Hui and Lam was up to over $1.8 million, the court was told.
The HD had rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by prosecuting counsel Henry Ma, assisted by ICAC officer Pius Chan.
Hui Wai-sheung, 53, earlier pleaded guilty to one count of fraud, contrary to Section 16A of the Theft Ordinance, while the prosecution withdrew the charge against her husband Lam Man-wah, 60.
In sentencing, Principal Magistrate Ms Woo Huey-fang said the offence was premeditated. A non-custodial sentence was inappropriate as the sentence ought to reflect the seriousness of the housing fraud.
The magistrate said she reduced the starting point of 15 weeks in jail to eight weeks after taking into account the guilty plea and ill health of Hui, as well as her repayment of over $1.8 million to the HD, being the unpaid premium of the PRH unit concerned.
The case arose from a corruption complaint. Subsequent ICAC enquiries revealed the fraud offence.
The court heard that Hui and Lam applied to the HD for purchasing a PRH unit in Cheung Wah Estate, Fanling under the “Tenants Purchase Scheme” on September 24, 2004.
Staff members of the HD explained to Hui and Lam that under the scheme, the PRH unit was prohibited from being leased out unless they obtained approval from the HD and paid a premium of the unit to the department.
After approving their application, the HD sold the unit to the couple at a consideration of $150,800, which was a discount rate.
At all material times, Hui and Lam had never paid any premium of the unit to the HD. On September 2, 2010, Hui leased out the unit to a tenant at a monthly rent of $3,900. The duo signed a “property temporarily borrow agreement”, which was in fact a “tenancy agreement”.
Since then, the tenant and his wife had lived in the unit, while Hui and Lam lived elsewhere.
The monthly rent was progressively increased to around $4,800 when Hui terminated the tenancy agreement in October 2015.
The court heard that during the rental period of over five years, Hui or Lam went to the unit monthly to collect rent in cash. But neither Hui nor Lam had never given any rental payment receipt to the tenant.
Hui reminded the tenant that if there was any government official visiting the unit, he should say that he was her friend and that he only stayed there for a few days.
In March 2012, a then Housing Officer of the HD was assigned to ascertain if the unit had been illegally leased out by Hui and Lam.
Later, Hui submitted a handwritten letter with supporting documents to the Housing Officer. In the letter, Hui assured the HD that the unit had not been leased out and that she had not received any rent from it.
An Estate Surveyor of the HD stated that the premium of the unit between 2010 and 2015 which ought to have been paid by Hui and Lam was up to over $1.8 million, the court was told.
The HD had rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by prosecuting counsel Henry Ma, assisted by ICAC officer Pius Chan.