A Sai Kung District Board member and a solicitor appeared in court yesterday accused of swindling the Government out of $12 million. The money was paid as compensation for three lots of land, Eastern Court heard. Lau Wan-hei, 63, and Wong Pui-hon, 49, a partner at law firm Wong Hui and Company, were jointly accused of two counts of conspiracy to defraud, one of forgery and one of furnishing false information. No pleas were taken. The Independent Commission Against Corruption alleges the pair conspired with Chan Muk-sang between December 1993 and June 1994 to cheat the Government into believing that Tsui Koon-yun was entitled to compensation. Landowners in Sai Kung's Fui Yiu Ha Village were to receive compensation in 1995 because the area was to be used to build public roads. It was said Lau and Chan bought land from Mr Tsui, a villager, but the transfer of ownership was not lodged with the Land Registry. It was alleged they suggested Mr Tsui seek compensation, but he did not agree. Lau, also a member of Sai Kung's rural committee, had shared the land with Chan, who died but had sold part of the ownership to four others. The accused were released on bail and the case was adjourned until June 10.