Ex-staff of cable manufacturer charged with $3.4m purchase orders fraud
2019-10-29
Two former employees of a cable manufacturer have been charged by the ICAC today (October 29) with conspiracy to defraud for making false representations so as to cause the manufacturer to supply products amounting to $3.4 million to three companies associated with them at discounted prices.
Pang Wing-tat, 39, and So Ying-han, 46, respectively former account executive and former assistant account executive of Samson Electric Wire Company Limited (Samson), jointly face three counts of conspiracy to defraud, contrary to Common Law.
The defendants will appear at the West Kowloon Magistracy on Thursday (October 31) for the case to be transferred 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, Pang and So were respectively account executive and assistant account executive of Samson, a cable manufacturer, responsible for selling its products to clients. So was under the supervision of Pang.
CT Cable Limited (CTCL) was set up by Pang and a business partner in June 2014, while Ka Chun Engineering and Trading Company (Ka Chun) and Rise Engineering Company (REC) were two other companies associated with Pang.
Two of the charges allege that between June 2012 and April 2015, Pang and So conspired together and with others to defraud Samson by dishonestly falsely representing that another supplier had offered to supply cables to Ka Chun and a new client, whose Chinese name resembled CTCL, at prices lower than that charged by Samson.
The defendants had allegedly arranged Samson to supply cables in the total invoiced amount of about $3 million to Ka Chun and CTCL at discounted prices; caused Samson’s clients to place purchase orders with the two companies instead; and arranged the two companies to supply those or some of the cables to Samson’s clients.
The remaining charge alleges that between March 2015 and June 2016, Pang and So conspired together and with others to defraud Samson by dishonestly falsely representing that the abovementioned supplier had offered to supply cables to REC at a lower price; arranging Samson to supply cables in the total invoiced amount of over $447,000 to REC at a discounted price; and arranging REC to supply those cables to CTCL.
It is alleged that Samson had undercharged at least over $820,000 in the abovementioned purchase orders due to the defendants’ false representations.
Samson has rendered full assistance to the ICAC during its investigation into the case.
The defendants have been released on ICAC bail, pending their court appearance on Thursday.
Pang Wing-tat, 39, and So Ying-han, 46, respectively former account executive and former assistant account executive of Samson Electric Wire Company Limited (Samson), jointly face three counts of conspiracy to defraud, contrary to Common Law.
The defendants will appear at the West Kowloon Magistracy on Thursday (October 31) for the case to be transferred 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, Pang and So were respectively account executive and assistant account executive of Samson, a cable manufacturer, responsible for selling its products to clients. So was under the supervision of Pang.
CT Cable Limited (CTCL) was set up by Pang and a business partner in June 2014, while Ka Chun Engineering and Trading Company (Ka Chun) and Rise Engineering Company (REC) were two other companies associated with Pang.
Two of the charges allege that between June 2012 and April 2015, Pang and So conspired together and with others to defraud Samson by dishonestly falsely representing that another supplier had offered to supply cables to Ka Chun and a new client, whose Chinese name resembled CTCL, at prices lower than that charged by Samson.
The defendants had allegedly arranged Samson to supply cables in the total invoiced amount of about $3 million to Ka Chun and CTCL at discounted prices; caused Samson’s clients to place purchase orders with the two companies instead; and arranged the two companies to supply those or some of the cables to Samson’s clients.
The remaining charge alleges that between March 2015 and June 2016, Pang and So conspired together and with others to defraud Samson by dishonestly falsely representing that the abovementioned supplier had offered to supply cables to REC at a lower price; arranging Samson to supply cables in the total invoiced amount of over $447,000 to REC at a discounted price; and arranging REC to supply those cables to CTCL.
It is alleged that Samson had undercharged at least over $820,000 in the abovementioned purchase orders due to the defendants’ false representations.
Samson has rendered full assistance to the ICAC during its investigation into the case.
The defendants have been released on ICAC bail, pending their court appearance on Thursday.