Friday, 19 December 2014

Hong Kong's former top civil servant found guilty in graft trial.

By Yimou Lee and Lizzie Ko.

HONG KONG (Reuters) - A former top Hong Kong civil servant was found guilty on Friday of accepting HK$8.5 million (£700,050) in bribes from executives of property developer Sun Hung Kai Properties Ltd, in the city's most high-profile corruption case.

Rafael Hui, 66, who headed Hong Kong's civil service from 2005 to 2007, was found guilty of three counts of misconduct in public office and two counts of conspiracy to commit misconduct. He had faced eight charges related to bribery and misconduct in public office, all of which he denied.

Raymond Kwok, co-chairman of Sun Hung Kai Properties, the city's largest developer, was cleared of all charges.

But his brother and fellow co-chairman, billionaire Thomas Kwok, was found guilty of one count of conspiracy to commit misconduct in public office. He had pleaded not guilty.

Hui's conviction by Hong Kong's Independent Commission Against Corruption had been widely expected given the strength of the evidence against him. It provides a boost to the powerful agency, which has faced criticism in recent years that it has struggled to land big cases.

It has also been under fire over public perceptions that its leaders have too eagerly courted relations with mainland officials, putting its vaunted independence at risk.

Shares of Sun Hung Kai Properties were suspended just before the verdicts were announced. They had risen more than 1 percent on Friday, in line with the benchmark index.

Sun Hung Kai executive Thomas Chan and businessman Francis Kwan were both found guilty of two charges of conspiracy to commit misconduct in public office and conspiracy to offer an advantage to a public servant.

The case, involving payments to former chief secretary Hui, has thrown a spotlight on the cosy relationship between the city's powerful developers and the government in the former British colony.

The brothers spent much of the more than 100-day trial defending themselves against charges of having given Hui millions of dollars to be their "eyes and ears" in government.

Hong Kong returned to Chinese rule in 1997 and has a separate legal system from the mainland.

The arrests in 2012 sent a shock through Hong Kong's business community, a small, close-knit group of tycoon-led families who control much of the city's business and hold substantial political influence.

But the trial itself was to a great extent overshadowed by more than two months of pro-democracy protests.

(Additional reporting by Donny Kwok, Farah Master, Twinnie Siu and Greg Torode; Editing by Anne Marie Roantree, Clarence Fernandez, Robert Birsel)
Culled from Yahoo News.

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