Immigration officials seek more details on migrant scheme scam
The Immigration Department has expressed concern and issued a call for information relating to a Sunday Morning Post investigation into a Guangzhou company's claim that it is helping dozens of mainlanders gain back-door entry to Hong Kong by posing as multimillionaire investors from Africa.
And an executive councillor has said the department should look into the capital investment migrant scheme as well as its own vetting procedure to find out if there are any loopholes that might allow back-door entry.
The Sunday Morning Post reported yesterday that a Guangzhou company claimed to be helping 60 mainlanders gain back-door entry to Hong Kong by posing as investors from Africa. All they have to do is put up 100,000 yuan (HK$114,000).
The company claims it has found a loophole in the capital investment scheme, for which mainlanders are ineligible. It requires applicants to invest HK$6.5 million in Hong Kong.
The company says it helps customers buy a passport from an African country, then transfers HK$6.5 million of its own money to a shell company in Hong Kong.
It uses the receipt for the transfer to apply for a Hong Kong ID card.
A representative of the company claims its owner has successfully helped a number of her friends gain Hong Kong residency by exploiting the loophole.
The Immigration Department launched the Capital Investment Entrant Scheme in October 2003. Applicants must invest the funds in real estate, equities, debt securities, bank deposits, subordinated debt or an eligible collective investment scheme.
By the end of last year, 4,646 Chinese nationals with permanent residency overseas had applied under the migrant scheme. The Immigration Department approved 2,914. After receiving queries from the Post, the department announced on Friday that applications from people who had their assets certificated by an accountant in Hong Kong would be processed much more quickly, though an accountant's involvement would not affect the outcome of the application.
Executive councillor Lau Kong-wah, who is also chairman of the Legislative Council's security panel and a vice-chairman of the Democratic Alliance for the Betterment and Progress of Hong Kong, said: 'It seems there is a loophole there. How would we know the applicants actually made the investments, or that the money will be there until they become permanent residents of Hong Kong?
'Whether the Guangzhou company is itself a scam, or has ways to cheat Hong Kong, what it is doing is apparently a crime. The police must work with the Immigration Department and police in Guangdong to hunt down this company.'
Eddie Kwan King-hung, a veteran immigration consultant, said he had heard of companies claiming they could help mainlanders move to Hong Kong by forging investment documents. He said wealthy mainlanders see Hong Kong residency as a mark of prestige.
High demand
By the end of last year, 4,646 overseas Chinese had sought residency
The Immigration Department approved: 2,914
