Hong Kong watchdog arrests 49 suspects in housing renovation scam involving contracts worth HK$500 million
- Mastermind construction firm offered bribes to influential residents in largest operation against such scams, Independent Commission Against Corruption says
- Kickbacks paid at private housing residences, commercial buildings and government-subsidised housing
Hong Kong’s anti-corruption watchdog has arrested 49 suspects in its largest operation against housing renovation scams, which involved about 10 building projects, with contracts worth up to HK$500 million (US$64 million).
A mastermind construction firm allegedly offered bribes to staff at management companies, influential residents and project consultants, ranging from tens of thousands of dollars to HK$1 million, the Independent Commission Against Corruption (ICAC) revealed on Friday.
The watchdog said 43 men and six women aged between 25 and 73 were arrested in the operation, which had the code name “fire net”.
The kickbacks were paid at private housing residences, commercial buildings and government-subsidised housing across the city, so that the prime culprit could secure renovation contracts or get off easily with laxer scrutiny, according to the watchdog.
Assistant Director Bryan Chong Ka-lok, from ICAC’s operations department, said the arrests, which were made on Wednesday, were triggered by a complaint from a person living in an affected residence.
“Following a thorough investigation, we later found out the scam involved a larger scale, better organisation and division of labour,” said Chong, who heads a team of 300 frontline investigators in charge of the probe.
“This is the largest operation the ICAC has carried out to date [relating to a] building management project,” he added, saying that the watchdog had to build a makeshift detention facility to accommodate the mass arrest operation.
