Tycoon drawn into blackmail hearing
Businessman accused of trying to use Henderson Land chief as bait to lure investors by offering him a free loan to buy shares
The names of Henderson Land Development chairman Lee Shau-kee and prominent businessman Lew Mon-hung were yesterday drawn into a High Court trial over an alleged blackmail plot.
A lawyer for one of five defendants in the case said Hui Chi-ming, who the court has heard was forced to hand over millions of shares as part of the plot, had dishonestly used Lee's name to persuade others to buy shares in his company.
Hui was formerly chairman of Hong Kong-listed Sino Union Petroleum and Chemical International (Sunpec). He was said to have put a proposal to Lee - which he did not accept - in which the tycoon could buy 200 million Sunpec shares "without paying a cent", and standing only to gain with no risk of any loss.
These suggestions were made by lawyers for defendant Koon Wing-yee, 56, former chairman of listed Easyknit Group, who is charged with others of extorting 300 million Sunpec shares from Hui. Koon, Wong Chin-yik, 61, Shum Man-keung, 59, Ng Chi-keung, 71, and Chan Kwai-nam, 62, are jointly charged with two counts of conspiracy to blackmail and one of theft. Wong also faces a charge of blackmail and one of possessing arms at the time of committing blackmail.
Gary Plowman SC, for Koon, suggested that Hui had offered the Henderson chairman an interest-free loan to buy 200 million Sunpec shares at HK$1.25 per share. The shares were to be held by Hui as security.
Under the proposal, Plowman said, if the price rose then Lee would sell the shares within five years and take the profits. If it fell, Lee would resell the shares to Hui without incurring any loss.
"That's what you proposed, but of course Dr Lee would not agree," Plowman said.
