Two then bank managers jailed for three years over JPY400m investment fraud revealed in ICAC graft probe
2026-8-6
An ICAC corruption investigation revealed that an illegal syndicate, with the assistance of bank staff in signing and issuing false bank documents, deceived Japanese investors into investing over JPY400 million (about HK$28.4 million at the material time) in various companies that falsely claimed to be undertaking investment projects in Africa by asserting that their bank accounts held assets totalling over HK$37 billion. The five defendants had either entered guilty pleas or been convicted after trial. Of them, two then bank managers were sentenced today (August 6) at the District Court to three years’ imprisonment.
Woo Man-ho, 38; and Chan Tak-ching, 39, both then relationship managers of Standard Chartered Bank (Hong Kong) Limited (Standard Chartered Bank), were each sentenced to three years’ imprisonment. They earlier pleaded guilty to a total of four counts of conspiracy to defraud, contrary to the Common Law.
In sentencing, Judge Mr Clement Lee Hing-nin remarked that the defendants premeditated the crimes, seriously breached trust, and undermined investor confidence in the bank. The judge added that the offences, which spanned over one and a half years and involved numerous victims and over HK$28 million in fraud, warranted deterrent sentences. The scam would likely have continued, had it not been exposed.
The judge took a starting point of six years’ imprisonment and reduced the duo’s jail terms to three years each, considering their guilty pleas and assistance rendered to the prosecution.
Leung Ho-yin, 40, another then relationship manager of Standard Chartered Bank; and Law Man-fai, 52, self-employed financial consultant, earlier pleaded guilty to a total of three counts of conspiracy to defraud. Co-defendant Catherine Kum Kit-ching, 58, manager of ADF Capital Limited (ADF), was earlier found guilty after trial of one count of conspiracy to deal with property known or believed to represent proceeds of indictable offence (commonly known as money laundering), contrary to section 25(1) of the Organized and Serious Crimes Ordinance and section 159A of the Crimes Ordinance. The trio are remanded until September 30 for sentence.
The ICAC investigation arose from a corruption complaint. At the material time, Woo, Chan and Leung were working at Standard Chartered Bank’s business banking department and priority banking department, respectively. At that time, Law was a self-employed financial consultant, while Kum was a manager of investment company ADF.
The court heard that between January 2015 and September 2016, Woo, Chan, Leung and Law conspired with four foreign nationals to use false proof of fund letters and corporate refund promissory notes to deceive various Japanese investors into making investments totalling over JPY400 million in ADF and several other companies.
The four defendants used the false documents, signed by Woo and Chan and purportedly issued by Standard Chartered Bank, to falsely claim that Standard Chartered Bank was the guarantor of ADF which undertook to pay about HK$450 million, and that the foreign nationals involved in the case had substantial funds totalling over HK$37 billion available for investments in Africa.
The four foreign nationals included two shareholders-cum-directors of ADF, specifically a Zambian man and a Korean man; a Thai man who was Chan’s client; and a Japanese woman who was the chief executive officer of a company.
Meanwhile, Kum conspired with the Zambian man and the Korean man to use a bank account to launder crime proceeds totalling about HK$55 million, representing the sum handled by the four co-defendants in the scam.
The ICAC enquiries revealed that Standard Chartered Bank had never held the assets concerned on behalf of the foreign nationals.
Standard Chartered Bank rendered full assistance to the ICAC during its investigation into the case.
The prosecution was today represented by prosecuting counsel Wong Hay-yiu, assisted by ICAC officer Krystie Cheng.
Woo Man-ho, 38; and Chan Tak-ching, 39, both then relationship managers of Standard Chartered Bank (Hong Kong) Limited (Standard Chartered Bank), were each sentenced to three years’ imprisonment. They earlier pleaded guilty to a total of four counts of conspiracy to defraud, contrary to the Common Law.
In sentencing, Judge Mr Clement Lee Hing-nin remarked that the defendants premeditated the crimes, seriously breached trust, and undermined investor confidence in the bank. The judge added that the offences, which spanned over one and a half years and involved numerous victims and over HK$28 million in fraud, warranted deterrent sentences. The scam would likely have continued, had it not been exposed.
The judge took a starting point of six years’ imprisonment and reduced the duo’s jail terms to three years each, considering their guilty pleas and assistance rendered to the prosecution.
Leung Ho-yin, 40, another then relationship manager of Standard Chartered Bank; and Law Man-fai, 52, self-employed financial consultant, earlier pleaded guilty to a total of three counts of conspiracy to defraud. Co-defendant Catherine Kum Kit-ching, 58, manager of ADF Capital Limited (ADF), was earlier found guilty after trial of one count of conspiracy to deal with property known or believed to represent proceeds of indictable offence (commonly known as money laundering), contrary to section 25(1) of the Organized and Serious Crimes Ordinance and section 159A of the Crimes Ordinance. The trio are remanded until September 30 for sentence.
The ICAC investigation arose from a corruption complaint. At the material time, Woo, Chan and Leung were working at Standard Chartered Bank’s business banking department and priority banking department, respectively. At that time, Law was a self-employed financial consultant, while Kum was a manager of investment company ADF.
The court heard that between January 2015 and September 2016, Woo, Chan, Leung and Law conspired with four foreign nationals to use false proof of fund letters and corporate refund promissory notes to deceive various Japanese investors into making investments totalling over JPY400 million in ADF and several other companies.
The four defendants used the false documents, signed by Woo and Chan and purportedly issued by Standard Chartered Bank, to falsely claim that Standard Chartered Bank was the guarantor of ADF which undertook to pay about HK$450 million, and that the foreign nationals involved in the case had substantial funds totalling over HK$37 billion available for investments in Africa.
The four foreign nationals included two shareholders-cum-directors of ADF, specifically a Zambian man and a Korean man; a Thai man who was Chan’s client; and a Japanese woman who was the chief executive officer of a company.
Meanwhile, Kum conspired with the Zambian man and the Korean man to use a bank account to launder crime proceeds totalling about HK$55 million, representing the sum handled by the four co-defendants in the scam.
The ICAC enquiries revealed that Standard Chartered Bank had never held the assets concerned on behalf of the foreign nationals.
Standard Chartered Bank rendered full assistance to the ICAC during its investigation into the case.
The prosecution was today represented by prosecuting counsel Wong Hay-yiu, assisted by ICAC officer Krystie Cheng.