Tsang 'unable to find' legal document for flat swap
Assistant highways director says too much time has passed for him to locate declaration of trust
Assistant highways director Tsang King-man prepared a declaration of trust to protect the interests of former development minister Mak Chai-kwong in a flat swap the two undertook, a court heard yesterday.
But Tsang, who is being tried over a housing subsidy fraud, said he could not find the legal document due to the lapse of time.
The prosecution yesterday played Tsang's recorded interviews with the Independent Commission Against Corruption in the District Court.
Tsang, 57, and Mak, 62, are accused of defrauding the government of HK$700,000 in housing allowances by using two properties in which they had a financial interest. Mak also faces two counts, and Tsang three counts, of using documents with intent to deceive the government. They have denied the charges.
In 1985, Mak bought unit 21E at City Garden in North Point and Tsang bought the flat one floor above, 22E. The next year, they cross-leased flats. Mak moved to the 22nd floor, Tsang to the 21st, with the leases in their wives' names.
The prosecution earlier said that Tsang instructed a lawyer to prepare the declaration of trust for flat 22E in 1990. At the time, Tsang was about to sell flat 21E. It later sold for HK$2.49 million.