Project manager gets six months for accepting $75,000 illegal rebates to award flooring works

2018-2-1

A project manager of an engineering company, charged by the ICAC, was today (February 1) sentenced to six months’ imprisonment at the Shatin Magistracy for accepting illegal rebates totalling $75,000 from a subcontractor in relation to the award of balcony flooring works at a private housing estate.

Lui Man-tak, 37, project manager of Gallant Art Contracting Engineering Limited (Gallant Art), was earlier found guilty of five counts of agent accepting an advantage, contrary to Section 9(1)(b) of the Prevention of Bribery Ordinance (POBO).

In sentencing, Magistrate Mr Colin Wong Sze-cheung said the case involved typical bribery acts which were serious in nature, thus warranting a custodial sentence.

The court heard that at the material time, Lui was a project manager of Gallant Art, a contractor for the supply and installation work of wooden floorboards at balconies of nine of the blocks (the flooring works) at the construction site of a private housing estate in Wu Kai Sha.

Yiu Kei-shing was the sole proprietor of Wa Shing Metal Design and Landscaping Company (Wa Shing), which was engaged in flooring works.

Around the end of July 2014, Lui invited Yiu to submit a quotation for the flooring works, and brought Yiu to the construction site for a site visit.

A few days later, Lui asked Yiu if he could complete the flooring works at a quoted price of $380 per balcony, which was equivalent to about $200 per square metre, to which Yiu agreed after assessing the costs.

Afterwards, Lui requested Yiu to raise the price to $250 per square metre in Wa Shing’s quotation and pay him the price difference as rebates for securing the flooring works. Yiu acceded to Lui’s solicitation.

Lui later told Yiu that the price quoted to Gallant Art would be increased to $253 per square metre and asked Yiu to calculate the total rebates for him.

The court heard that after calculation, Yiu would charge Gallant Art a total amount of over $1.47 million for undertaking flooring works for 2,970 balconies, while his actual charge was about $1.13 million. The difference between the two prices was over $340,000 being the rebates solicited by Lui.

In August 2014, Yiu commenced the flooring works and received interim payments from Gallant Art by stages. Between November 18 and December 31, 2015, Lui accepted illegal rebates of $75,000 in total out of the $340,000 from Yiu on five occasions.

Meanwhile, Yiu, 36, was also charged by the ICAC for his role in the scam in a separate case. He earlier pleaded guilty to five counts of offering an advantage to an agent, contrary to Section 9(2)(b) of the POBO, and had his case adjourned to February 23 for mention.

The prosecution was today represented by prosecuting counsel Newman Wong, assisted by ICAC officer Kelly Ng.
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