Family of fraudsters who bilked Hong Kong cosmetics giant Bonjour out of HK$40 million is ordered to repay HK$600,000 – about 1.5 per cent
- Judge orders son and father to each pay HK$300,000
- Family used inflated salaries and 35 fake identities to steal company funds
A family who swindled one of Hong Kong’s biggest cosmetic retailers out of more than HK$40 million (US$5.1 million) have been ordered to pay back HK$600,000 – roughly 1.5 per cent of what they stole.
But the judge said he considered whether the family had the means to make restitution, or if they would be tempted to commit more crimes to raise funds when they are discharged from prison.
His ruling came after a High Court jury found Bonjour’s former human resources and administrative manager Kiu Mei-ling, 64, and her son Ha Ting-pong, 41, who worked in the same department, guilty of an elaborate fraud scheme that stretched from 2004 to 2011.
Her husband Ha Wai-shing, 70, was found guilty of helping the mother and son launder the proceeds of the crime.
The court heard the family used inflated salaries and 35 identities, including those of 22 former or current staff members, to channel company funds into their personal accounts.
Most of the funds were ultimately withdrawn from those accounts in cash, ending up untraceable and unrecoverable.
In a rare development at a sentencing hearing, counsel Dicky Cheung for Bonjour, who was not a party to the criminal proceedings, interrupted Deputy Judge Michael Lunn to ask for a compensation order.
Family accused of defrauding Hong Kong cosmetics retailer Bonjour of HK$40 million
Prosecutors were initially neutral to the request but changed their minds on Wednesday and applied for an order for the defrauded company.
But defence counsel Adonis Cheung Kam-wing complained of a legal ambush by Bonjour and argued that the court had no right to grant such orders after sentencing.
Lee disagreed, adding that it was difficult to understand why prosecutors did not seek compensation in the first place.
“The present stance is a more reasonable and sensible one, given what the prosecution has pledged in the Victims’ Charter,” he said.
Lee ordered Ha Ting-pong and his father to each pay HK$300,000. The sums were to be paid out of their bail money of the same amount.
He declined to make an order against Kiu, noting that Bonjour had sensibly decided not to seek compensation from her because of her lack of means.
“If Bonjour is minded to seek the remainder, the matter should be left to the civil jurisdiction of the court,” Lee said.
Bonjour has not ruled out the possibility of taking civil action.
Ha Ting-pong and his father have both filed appeals against their convictions.