Macau casinos main suspects in money-laundering
Graft investigators suspect most of the cash generated by Hong Kong criminal enterprises is laundered through Macau casinos - including the ill-gotten gains of executed gangster 'Big Spender' Cheung Tze-keung.
The casinos were central to the plot hatched by those involved in the 'Russian mob' conspiracy broken up by Operation Bridge. Independent Commission Against Corruption chief investigator Mike Squires said: 'In my view, most Hong Kong criminal money is laundered through [casino] chips. All of Cheung Tze-keung's money went through that way, though not necessarily through that same casino [the Oriental VIP Club].'
Investigators discovered businessman Adam Wong had suggested two ways of laundering the money, said to have come from prostitution, vice and protection rackets run by organised crime gangs in Moscow.
Court documents revealed that one method was to pass it through companies connected to Wong and Michael Leung after which it would be returned as cheques or cashier orders to Russian gang boss 'Arkadiy'.
The other method would see Arkadiy provide them with cash which would be given to 'either of the two casinos they [Adam Wong and Michael Leung] own in Macau, the Oriental VIP Club or Fortune VIP', the documents said.
In return - within an hour of the money being given to the casino - the establishment would issue a winning cheque to them.
The laundering would involve six per cent commission payable to the casino and three per cent divided between 'Richard' and corrupt Customs officer Philip Chu in return for helping to bring together the two parties - Wong and Leung with Arkadiy.
During talks between casino bosses and Arkadiy, Richard and Chu, the option of laundering money through a casino in the US - the LA Casino on the outskirts of Los Angeles - was also discussed.
Investigators believe the casino has strong connections with Chinese organised crime.
'There was also one rate for cash raised from one sort of criminal offence and a higher rate for drugs and guns,' Mr Squires said.
'When it came out that our money was from prostitution and vice it was then that they [the casino bosses] said 'that's alright then'. If we were trying to take drug money into the States we would have to be more careful.'
During Wong and Leung's trial it emerged that Wong had boasted to their business partners that a Hong Kong bank manager 'worked for them'.
It emerged that Wong had later introduced Arkadiy, Chu and Richard to Albert Ho, then a manager at HSBC's Shun Tak Centre branch. They later withdrew a cheque for US$18,200 (HK$141,778) in the name of Richard from the same branch as part of their money-laundering deal.
The Sunday Morning Post has learned that Mr Ho - who has never been charged - is still employed by HSBC but has been transferred to another branch.
When confronted, Mr Ho confirmed he was the man named in court but claimed it was the result of a misunderstanding. HSBC refused to comment.
