Hong Kong police take down 3 fraud syndicates over attempted HK$10.36 million subsidy scheme swindle
- Incident marks first time police have uncovered syndicates allegedly submitting fake applications to government scheme helping businesses to upgrade their technology
- Police say syndicates used intermediaries to recruit businesses to join alleged scams and also asked family members and friends to pose as heads of fake service providers
Hong Kong police have arrested 35 people in a crackdown on three fraud syndicates accused of attempting to swindle more than HK$10 million (US$1.28 million) from a government subsidy scheme.
The incident was the first time the force had uncovered syndicate operations involving fraudulent applications to the Technology Voucher Programme (TVP), Senior Superintendent Kung Hing-fun of the commercial crime bureau on Thursday said.
The Innovation and Technology Commission introduced the subsidy scheme in 2016 to help local businesses and other organisations improve their operations through technological upgrades.
The alleged scams involved 50 applications to the programme.
“[The syndicates] provided one-stop technology voucher application services, preparing all necessary documents for the applicants and submitting false operation proofs and payment records in an attempt to defraud the government funding,” Kung said.
Police began investigating the syndicates after receiving complaints of suspicious applications from last July.