In response to media enquiries, an ICAC spokesperson confirmed that following an investigation into suspected corruption and fraud in relation to a property development project of small houses in Yuen Long, the commission recently mounted an operation codenamed “Silver Grass”, netting a total of 24 persons, including operators of a developer, small house applicants and middlemen.

The ICAC investigation arose from corruption complaints which alleged that a developer, certain middlemen and indigenous villagers had conspired to acquire “Ding Rights” from indigenous villagers by corrupt and fraudulent means, and made false claims to the Lands Department when applying to build small houses.

They were alleged to have made false representation to the Lands Department that the indigenous villagers were the sole registered owners of particular land lots, and proclaimed that no agreement had been reached between the developer and the indigenous villagers in transferring or disposing the latter’s rights to develop those land lots.

ICAC enquiries revealed that the developer had allegedly engaged middlemen to acquire “Ding Rights” from indigenous villagers in Yuen Long at tens of thousands to hundreds of thousands dollars for the construction of a sizeable property development project for profits. Offering or acceptance of advantages and conspiracy to defraud were allegedly involved.

During the operation, the ICAC searched a number of premises, including the offices of the aforesaid property developer and a solicitors firm.

While enquiries are continuing, it is not appropriate for the ICAC to make further comments.

The Lands Department has offered full assistance to the ICAC during its investigation.