Ex-staff of ArchSD contractor in court for $3.9m works orders fraud
2017-6-6
A former quantity surveyor of a term contractor of the Architectural Services Department (ArchSD) appeared at the Kowloon City Magistracy today (June 6) after being charged by the ICAC with conspiracy to defraud the ArchSD of about $3.9 million worth of works orders in relation to two projects – Kai Tak Development Area and New Central Harbourfront.
Chan Kwok-wing, 48, former quantity surveyor of Able Engineering Company Limited (AECL), who was charged last Friday (June 2), faced two charges of conspiracy to defraud, contrary to common law.
The defendant pleaded not guilty to the charges today. Principal Magistrate Mr Peter Law Tak-chuen adjourned the case to July 25 this year for a pre-trial review.
The case arose from a corruption complaint. Subsequent ICAC enquiries revealed the above alleged offences.
At the material time, the defendant was employed by AECL, a term contractor of the ArchSD, as a quantity surveyor responsible for handling the term contract and dealing with the ArchSD. AECL subcontracted its works orders to an engineering company.
One of the charges alleged that between an unknown day in June 2013 and August 14, 2014, the defendant conspired with the operator of the engineering company to defraud officers of the ArchSD by falsely representing:
a sum of $1,600,000 was the genuine quotation price chargeable by the engineering company for the supply and installation of four pavilions in Kai Tak Development Area at Shing Fung Road, Kowloon City in a works order;
the quotation of the engineering company and that of two other engineering firms were genuinely competitive ones prepared separately and independently;
$98,000 was the genuine quotation price chargeable by the engineering company for the supply and installation of a hardwood chair in Kai Tak Development Area; and
the quotation of the engineering company and that of two other engineering firms were genuinely competitive ones prepared separately and independently.
As a result, the officers of the ArchSD were caused and induced to approve the alleged bogus quotations relating to the supply and installation of those pavilions and hardwood chair at a total sum of $1,698,000.
The other charge alleged that between an unknown day in May 2013 and August 14, 2014, the defendant conspired with the operator of the engineering company to defraud officers of the ArchSD by falsely representing:
a sum of $2,192,000 was the genuine quotation price chargeable by the engineering company for the supply and installation of eight pavilions at New Central Harbourfront in Central in two works orders; and
the quotation of the engineering company and that of two other engineering firms were genuinely competitive ones prepared separately and independently.
As a result, the officers of the ArchSD were caused and induced to approve the alleged bogus quotation relating to the supply and installation of those pavilions at $2,192,000.
The defendant was granted cash bail of $20,000. He was also ordered not to leave Hong Kong, reside at the reported address, report to the Police once a week, and not to interfere with prosecution witnesses.
The ArchSD had rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by ICAC officer Benjamin Ho.
Chan Kwok-wing, 48, former quantity surveyor of Able Engineering Company Limited (AECL), who was charged last Friday (June 2), faced two charges of conspiracy to defraud, contrary to common law.
The defendant pleaded not guilty to the charges today. Principal Magistrate Mr Peter Law Tak-chuen adjourned the case to July 25 this year for a pre-trial review.
The case arose from a corruption complaint. Subsequent ICAC enquiries revealed the above alleged offences.
At the material time, the defendant was employed by AECL, a term contractor of the ArchSD, as a quantity surveyor responsible for handling the term contract and dealing with the ArchSD. AECL subcontracted its works orders to an engineering company.
One of the charges alleged that between an unknown day in June 2013 and August 14, 2014, the defendant conspired with the operator of the engineering company to defraud officers of the ArchSD by falsely representing:
a sum of $1,600,000 was the genuine quotation price chargeable by the engineering company for the supply and installation of four pavilions in Kai Tak Development Area at Shing Fung Road, Kowloon City in a works order;
the quotation of the engineering company and that of two other engineering firms were genuinely competitive ones prepared separately and independently;
$98,000 was the genuine quotation price chargeable by the engineering company for the supply and installation of a hardwood chair in Kai Tak Development Area; and
the quotation of the engineering company and that of two other engineering firms were genuinely competitive ones prepared separately and independently.
As a result, the officers of the ArchSD were caused and induced to approve the alleged bogus quotations relating to the supply and installation of those pavilions and hardwood chair at a total sum of $1,698,000.
The other charge alleged that between an unknown day in May 2013 and August 14, 2014, the defendant conspired with the operator of the engineering company to defraud officers of the ArchSD by falsely representing:
a sum of $2,192,000 was the genuine quotation price chargeable by the engineering company for the supply and installation of eight pavilions at New Central Harbourfront in Central in two works orders; and
the quotation of the engineering company and that of two other engineering firms were genuinely competitive ones prepared separately and independently.
As a result, the officers of the ArchSD were caused and induced to approve the alleged bogus quotation relating to the supply and installation of those pavilions at $2,192,000.
The defendant was granted cash bail of $20,000. He was also ordered not to leave Hong Kong, reside at the reported address, report to the Police once a week, and not to interfere with prosecution witnesses.
The ArchSD had rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by ICAC officer Benjamin Ho.