POLICE are preparing for gang warfare in Wan Chai in the wake of the murder in Macau of triad king pin Andely Chan Yiu-hing and his associate, Tse Chun-fung. The dramatic development comes on the eve of the funerals of the two Sun Yee On members gunned down during the Macau Grand Prix weekend nearly two weeks ago. Officers initially played down the prospect of increased violence, but new intelligence has prompted them to change their minds. In particular, it is understood that the Wo Hop To triad is keen to muscle in on the extortion activities of the Sun Yee On. The Wo Hop To are the most active triad organisation on Hong Kong island and only slightly less influential than the Sun Yee On among Wan Chai's busy restaurants, bars and nightclubs. Information obtained by the South China Morning Post indicates that a bitter power struggle is currently taking place among Wan Chai Sun Yee On members to replace Chan, a 426 Red Pole officer known as the Tiger of Wan Chai. Among those allegedly jockeying for the position is Chan's younger brother, Chan Yiu-hong. It is understood that the Wo Hop To are currently trying to exploit the in-fighting. Gangs of Sun Yee On are also believed to be roaming the Wan Chai and Tsim Sha Tsui districts looking to exact revenge on members of the Wunam gang, a small but ruthless triad organisation with strong links to the mainland. The Wunam gang are number one suspects behind Chan's murder with links to the 14K triad. Chan, 32, was apparently killed in revenge for ordering the murder of 14K-affiliated film producer Wong Long-wai in May last year, whom police believe was shot dead for slapping singer Anita Mui after she refused to sing during a celebration at a Karaokebar. Chan is believed to have infuriated rival triads by refusing to pay ''compensation'' for Wong's death and by falsely bragging about being the trigger man in the hit. Meanwhile, police are gearing up for tomorrow's funeral of Chan and Tse at the Hong Kong Funeral Home in North Point at 10 am tomorrow. This afternoon, family and friends will pay their respects from 2 pm onwards. The actual funeral will see a low-key but large police presence, with a limited amount of uniformed officers on the ground. The main police element will be plain-clothes officers, a squad of about 20 from the Organised Crime and Triad Bureau, and others who will be gathering intelligence. A full squad of officers from the Police Tactical Unit will be on standby at North Point police station in the event that trouble erupts. The service itself is expected to be traditionally Chinese with mourners filing into the parlour and bowing three times to the bodies and once to the bereaved family, who will bow back in acknowledgment. With either Buddhist or Taoist monks officiating, the mourners will then be expected to sit in silence for a short while before departing. Afterwards, the bodies will be driven to Cape Collinson graveyard and crematorium. Police expect a huge turnout, particularly by members of the Sun Yee On triad society, but it is believed Kowloon Sun Yee On members will stay away to reduce the risk of trouble between rival triads. A spokesman for the OCTB said: ''We will be there to keep an eye on things and look out for people that we recognise.