Convoy four found guilty of fraudFinance | Staff reporter 21 Sep 2021
Three former senior Convoy Global executives and a securities company manager were found guilty on two counts of conspiracy to defraud and fraud over a share placement.
The financial firm's former chief executive Mark Mak Kwong-yiu, former chief financial officer Christie Chan Lai-yee, former manager Wong Shuk-on and the broker Lee Yick-ming were found guilty of defrauding the company in a HK$51 million kickback over four bond placements in 2014 and 2015, deputy district court judge Newman Wong Hing-wai ruled.
They were accused of pretending to arrange for Gransing Securities to handle Convoy's bond issuance six years ago.
However, the deal was eventually handled by Convoy Securities, which concealed the fact that the transactions were connected.
The alternative charge was that they concealed the fact that Convoy Securities was the actual placement agent of Convoy Financial, and intended to defraud and induce Convoy Financial to engage Gransing as the placement agent of bonds.
Before their next hearing on October 9 for mitigation and sentencing, the three will remain out on bail of HK$100,000 or HK$200,000.
Also, the three former Convoy executives were also found guilty of defrauding the stock exchange from June 2014 to January 2016.
Trading in Convoy's shares has been suspended since the end of 2017 before it was delisted this May.