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Hong Kong elite guilty in corruption case

Former chief secretary and leading property developer face jail over bribes scandal

19.12.2014 - Update : 19.12.2014
Hong Kong elite guilty in corruption case

HONG KONG

One of Hong Kong’s leading public figures was Friday convicted of accepting bribes worth millions of dollars from wealthy property developers, local media said.

Rafael Hui, the territory’s chief secretary between 2005 and 2007, was found guilty of taking money from Thomas Kwok, co-chairman of Sun Hung Kai Properties, and two middlemen, public broadcaster RTHK reported.

In a case that has highlighted the cosy relationship between the city's powerful property developers and government officials, the 100-day trial heard that Kwok and his brother Raymond, who was acquitted of all charges, paid Hui to be their "eyes and ears" in government.

The case also threw light on the city's social and economic environment in which a small number of tycoon-led families control much of the city's business sector, particularly real estate, and wield disproportionate political influence.

The nine-member jury convicted Hui on five of eight charges relating to corruption and misconduct in public office.

Thomas Kwok, 63, was found guilty of one charge of conspiracy to commit misconduct in public office – offering Hui 8.5 million Hong Kong dollars ($1.1 million) in 2005 for him to be "favorably disposed" to Sun Hung Kai, Hong Kong’s largest property company.

Thomas Chan, a long-standing executive with the Kwoks, and Hui’s friend Francis Kwan, a former stock exchange official, were convicted of helping to channel almost HK$11.2 million to Hui in 2007 while he was chief secretary, the former British colony’s second highest public office.

The successful prosecution is likely to see 66-year-old Hui die in prison and has boosted the damaged reputation of the Independent Commission Against Corruption, which has been perceived as being too close to China.

Hui was a leading member of the territory’s elite – a former steward of the Hong Kong Jockey Club, vice chairman of the Hong Kong Arts Festival Society, honorary secretary of the Hong Kong International Film Festival Society and a member of the executive committee of the Hong Kong Philharmonic Society. He was a holder of two of the territory's highest honors, the Grand Bauhinia Medal and the Gold Bauhinia Star.

After retiring as chief secretary he served as an unofficial member of Hong Kong’s executive council until 2009.

The Kwoks belong to Hong Kong’s third richest family, with a $14.4 billion fortune, according to Forbes magazine.

A statement from Sun Hung Kai was expected later Friday. Prosecutors asked the judge to consider a disqualification order to expel Kwok and Chan from their directorships at the company, the South China Morning Post reported.

Hong Kong returned to Chinese sovereignty in 1997 but has kept its separate legal system.

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