Technology services provider among five charged by ICAC for Technology Voucher subsidies fraud
2026-10-16
In Operation “Thunder” conducted early this year, the ICAC neutralised a corruption syndicate suspected of defrauding government technology subsidies under the Technology Voucher Programme (TVP) through shell companies set up by recruited dummy applicants. Following an in-depth investigation, five individuals, including a technology services provider and shell company owners were charged with conspiracy to defraud this morning (October 16). The case will be brought to the Eastern Magistrates’ Courts for mention this afternoon.
Kan Cheuk-hong, 36, technology services provider, faces four counts of conspiracy to defraud, contrary to the Common Law. The four co-defendants, each charged with one count of conspiracy to defraud, are three shell company owners Lai Hau-hei, Brandon Leung Ngo-hin and Cheung Tun-cheung, and middleman Ng Sui-ki, aged between 31 and 49.
The TVP subsidised local enterprises in using technology services to enhance competitiveness. The Innovation and Technology Commission (ITC) was responsible for administering the TVP, while Hong Kong Productivity Council (HKPC) served as its secretariat since 2021. Government funding was provided under the TVP on a matching basis for up to three-quarters of the costs of each project. Each eligible applicant could be approved for up to six projects subject to a cumulative subsidy ceiling of $600,000. The TVP ceased accepting applications in late 2024.
The charges allege that between October 2019 and January 2025, Kan, technology services provider, conspired with the four co-defendants respectively to defraud the ITC and the HKPC by falsely representing that multiple companies—set up by Lai, Leung, Cheung and their associates, or referred by Ng—were eligible to make applications for subsidies under the TVP, had engaged Kan’s three companies to provide services, and had made service payments, thereby inducing the ITC and the HKPC to approve the applications and release the TVP subsidies amounting to over $1.6 million.
The ICAC launched an investigation into this case after suspecting corruption and fraud related to TVP subsidies while probing another case. The ITC and the HKPC, which identified service providers having repeatedly applied for subsidies during the vetting process, took the initiative to report the matter to the Commission. The ICAC investigation revealed that the various technology services providers involved in this case were linked to about 470 TVP applications, involving subsidies exceeding $100 million. Through Operation “Thunder” and maintaining early, close liaison with the ITC and the HKPC, the ICAC successfully intercepted the approval and release of nearly 90 per cent of the subsidies, amounting to $94 million.
The ITC and the HKPC rendered full assistance to the ICAC during the investigation into the case. The relevant corruption investigation is still ongoing. The ICAC does not rule out laying additional charges against the defendants or prosecuting other individuals involved in the case.
The ICAC spokesperson reiterated that the Commission will take resolute actions to crack down on criminals deploying corrupt means to defraud government subsidies. The ICAC has been cooperating with the innovation and technology industry to enhance the integrity management and anti-corruption capabilities of its practitioners. In addition, the ICAC will launch the Corruption Prevention Guide on Funding Schemes on Innovation and Technology to help funded organisations strengthen their corruption prevention capabilities when applying for subsidies and executing projects.
Kan Cheuk-hong, 36, technology services provider, faces four counts of conspiracy to defraud, contrary to the Common Law. The four co-defendants, each charged with one count of conspiracy to defraud, are three shell company owners Lai Hau-hei, Brandon Leung Ngo-hin and Cheung Tun-cheung, and middleman Ng Sui-ki, aged between 31 and 49.
The TVP subsidised local enterprises in using technology services to enhance competitiveness. The Innovation and Technology Commission (ITC) was responsible for administering the TVP, while Hong Kong Productivity Council (HKPC) served as its secretariat since 2021. Government funding was provided under the TVP on a matching basis for up to three-quarters of the costs of each project. Each eligible applicant could be approved for up to six projects subject to a cumulative subsidy ceiling of $600,000. The TVP ceased accepting applications in late 2024.
The charges allege that between October 2019 and January 2025, Kan, technology services provider, conspired with the four co-defendants respectively to defraud the ITC and the HKPC by falsely representing that multiple companies—set up by Lai, Leung, Cheung and their associates, or referred by Ng—were eligible to make applications for subsidies under the TVP, had engaged Kan’s three companies to provide services, and had made service payments, thereby inducing the ITC and the HKPC to approve the applications and release the TVP subsidies amounting to over $1.6 million.
The ICAC launched an investigation into this case after suspecting corruption and fraud related to TVP subsidies while probing another case. The ITC and the HKPC, which identified service providers having repeatedly applied for subsidies during the vetting process, took the initiative to report the matter to the Commission. The ICAC investigation revealed that the various technology services providers involved in this case were linked to about 470 TVP applications, involving subsidies exceeding $100 million. Through Operation “Thunder” and maintaining early, close liaison with the ITC and the HKPC, the ICAC successfully intercepted the approval and release of nearly 90 per cent of the subsidies, amounting to $94 million.
The ITC and the HKPC rendered full assistance to the ICAC during the investigation into the case. The relevant corruption investigation is still ongoing. The ICAC does not rule out laying additional charges against the defendants or prosecuting other individuals involved in the case.
The ICAC spokesperson reiterated that the Commission will take resolute actions to crack down on criminals deploying corrupt means to defraud government subsidies. The ICAC has been cooperating with the innovation and technology industry to enhance the integrity management and anti-corruption capabilities of its practitioners. In addition, the ICAC will launch the Corruption Prevention Guide on Funding Schemes on Innovation and Technology to help funded organisations strengthen their corruption prevention capabilities when applying for subsidies and executing projects.