A broker at Mansion House Securities (Far East) was charged last night in connection with an alleged fraud linked to share trading of about $60 million. The broker, Donald Lai, will appear in Eastern Court today. He will be charged with two counts: the possession of a false instrument and the use of a false instrument in connection with the alleged fraud. Lai surrendered himself to the Commercial Crime Bureau after failing to show up last Friday in his office. Police investigations revealed that Lai faxed the alleged victim of the fraud - Tsim Sha Tsui clothing trader P.G. Chainrai - a statement of a $62 million balance in Mr Chainrai's share account on March 30. However, Mr Chainrai checked three days later with Mansion House and discovered the balance was below $1,000. Mansion House managing director Irene So Wai-yin said Lai was suspended from his job yesterday. Mansion House Securities (Far East) is a subsidiary of the Mansion House Group. Ms So last night said Mansion House directors were estimating the impact of the fraud on the company's financial health. 'We hope we'll get protection from insurance,' she said. Stock Exchange of Hong Kong spokesman Henry Law Man-wai yesterday said the exchange was investigating the circumstances surrounding the events at Mansion House Securities. The exchange decided not to suspend trading in its parent's shares and also decided to let it continue conducting broking business. 'The company has so far been able to fulfil our requirement,' he said. 'We don't see why we should suspend it from trading.' Ms So said the brokerage saw no significant withdrawal of shares by clients, adding that business was normal. Shares at the brokerage's parent Mansion House Group closed yesterday unchanged yesterday at $1.16 with no trading.