A merchant has been charged by the ICAC today (June 4) with using a copy of a false power of attorney purportedly signed by his mother and younger brother to defraud five licensed money lenders of mortgage loans amounting to over $18 million.

Chan Kam-hung, 61, faces five charges of using a copy of a false instrument, contrary to Section 74 of the Crimes Ordinance.

The defendant will appear at the Eastern Magistracy on Thursday (June 6) for transfer of the case to the District Court for plea.

The case arose from a corruption complaint. Subsequent ICAC enquiries revealed the above alleged offences.

At the material time, the defendant resided at a property in Kowloon Tong, of which his mother and younger brother were joint tenants. He submitted applications to five licensed money lenders for mortgage loans by pledging the property.

The charges allege that between December 1, 2014 and May 27, 2015, the defendant used a copy of a false instrument, namely a power of attorney purportedly signed by his mother and younger brother dated October 7, 2014, with the intention of inducing the five licensed money lenders to accept it as copy of a genuine instrument, and by reason of so accepting it to do or not to do some act to their prejudice or any other person’s prejudice.

ICAC enquiries revealed that in the belief that the content of the power of attorney was true and accurate, the five licensed money lenders accepted the defendant’s applications and released mortgage loans totalling over $18 million to him.

The licensed money lenders have rendered full assistance to the ICAC during its investigation into the case.

The defendant has been released on ICAC bail, pending his court appearance on Thursday.