由此
A A
B DCCC 741/2024 B
[2025] HKDC 745
C C
IN THE DISTRICT COURT OF THE
D D
HONG KONG SPECIAL ADMINISTRATIVE REGION
E CRIMINAL CASE NO. 741 OF 2024 E
F
____________ F
G HKSAR G
H
v H
WONG Chiu-sang
I I
____________
J J
Before : H.H. Judge G. Lam
K Date : 29 April 2025 K
Present : Mr. Marc Corlett, counsel on fiat, for HKSAR.
L Mr. Tsoi Kwai Lok of M/s Wan Yeung Hau & L
Co., for the defendant.
M Offence : Dealing with property known or believed to M
represent proceeds of an indictable offence（處理
N
已知道或相信為代表從可公訴罪行的得益的 N
財產）
O O
P
REASONS FOR SENTENCE P
Q Q
The defendant pleaded guilty to a charge of "Dealing with
R R
property known or believed to represent proceeds of an indictable offence".
S S
In short, he allowed a relative to use his bank account.
T T
U U
V V
由此
- 2 -
A A
Summary of Facts
B B
C 2. On 13 August 2020, the defendant opened a bank account C
D (No.97386710821) with the Standard Chartered Bank (Hong Kong) Limited D
E
("the SCB Account"). He was the sole signatory of the SCB Account. On E
the opening mandate, the defendant stated that he was a "manager/
F F
executive" of a medical company in the "personal services, retail &
G G
wholesale" industry.
H H
I I
Deposits and withdrawals
J J
3. Between 13 August and 31 October 2020, the SCB Account
K K
received 15 deposits (by way of transfer from other bank accounts), which
L L
aggregated to a sum of HK$1,709,319.28. All 15 deposits were
M M
immediately withdrawn upon receipt by the account. During the same
N N
period, the SCB Account also received 36 deposits (by way of transfer from
O O
other bank accounts), which aggregated to a sum of US$567,429.67. All 36
P P
deposits were immediately withdrawn upon receipt by the account.
Q Q
R 4. Based on the nature and pattern of the transactions of the SCB R
S
Account, the prosecution alleges that it was used as a temporary repository S
T T
U U
V V
由此
- 3 -
A A
of funds; and the money remitted into the account did not commensurate
B B
with the defendant's personal and financial background.
C C
D D
5. The defendant now admits that during the offence period, he
E E
had dealt with the sums of HK$1,709,319.28 and US$567,429.67, knowing
F F
or having reasonable grounds to believe that the said sums, in whole or in
G part, directly or indirectly, represented any person's proceeds of an G
H indictable offence. H
I I
J
Mitigation & Sentence J
K K
6. The defendant is 52 and has a clear record. Defence solicitor
L Mr. Tsoi informed me that the defendant is married with a son (aged 19), L
M who is a university student. Since 2023, the defendant has been employed M
N by a drug store in Sheung Shui earning about $18,000 per month. He is the N
sole breadwinner of his family.
O O
P P
7. In mitigation, Mr. Tsoi explained that the defendant has a
Q Q
nephew surnamed Xu in the mainland who ran an import and export
R R
business. Around August 2020, Xu asked him to open a bank account in
S S
Hong Kong to facilitate Xu's business transactions. Without giving too
T T
much thought to the matter, the defendant agreed to help. After opening the
U U
V V
由此
- 4 -
A A
SCB Account, he gave Xu its account number and details. All withdrawals
B B
were carried out by the defendant in accordance with Xu's instructions. He
C C
performed all transfers and, when required, withdrew cash and handed it
D D
over to Xu. After the defendant was arrested, Xu has cut off all contacts.
E E
Mr. Tsoi submitted that the defendant is truly remorseful. His imprisonment
F F
would no doubt have a devastating impact on his family.
G G
H 8. The prosecution has applied for an enhanced sentence pursuant H
I to section 27(2)(c) and (d) of the Organized and Serious Crimes Ordinance I
J
(Cap.455) on the basis of prevalence as well as the nature and extent of harm J
caused to the community. Mr. Tsoi has no objection for the enhancement.
K K
L L
9. I bear in mind the Court of Appeal's decision in HKSAR v Xu
M M
Mai Qing CACC 464/2005, whereas Yeung JA (as he then was) held "Under
N N
section 27(11) of OSCO, what the prosecution has to prove is the prevalence
O O
of the offence, not the increase in the number of such offences1."
P P
Q 10. I have read the witness statement of CIP Li dated 18 Feb 2025. Q
R I am satisfied that in 2020, money laundering cases were prevalent in Hong R
S S
T T
1
Paragraph 16 on p.4 of the judgment.
U U
V V
由此
- 5 -
A A
Kong in terms of the number of cases as well as the total value of monetary
B B
loss.
C C
D D
11. There is clear and cogent evidence before me that money
E E
laundering by bank accounts opened by "ML Stooges" is still widespread
F F
and commonly being practised in Hong Kong today. What true criminals
G need are gullible scapegoats like the defendant who would take the blame G
H for them when the law enforcement takes action. The court must send a H
I clear message to the general public that people who play the role of "ML I
J
Stooge" will receive severe punishment, so that there is a deterrent effect. J
When there are fewer or no willing "ML Stooges", the criminal activities
K K
which rely on their bank accounts would fail.
L L
M M
12. This is a typical case of money laundering by way of a stooge
N N
bank account. The defendant claimed that he had mistrusted a relative
O O
during the offence period; however, the money laundering plan would have
P P
been meaningless without the SCB Account. Assuming what the defendant
Q said is true, given his role, the total sums which went through the SCB Q
R Account and the overall circumstances, I grant the prosecution's application R
S
and will enhance the sentence by 25%. S
T T
U U
V V
由此
- 6 -
A A
13. The Court of Appeal in SJ v Wan Kwok Keung [2012] 1
B B
HKLRD 201 held :-
C C
Generally, the sentence for "money laundering" offences should mainly
D D
reflect the amount of "black money" laundered and not the benefit obtained
by the defendant or others. The reason being that it is very difficult to prove
E E
the benefit concerned, and in most "money laundering" cases, there may
F not be evidence to show from what indictable offence the "black money" are F
in fact derived. Of course, if there is information to prove that the "black
G money" is originated from serious crimes, including drug trafficking, G
kidnap and blackmail, illegal human trafficking, other organized crimes,
H H
etc. or the defendant's benefit is huge, then the sentence should be adjusted
upward.2
I I
J J
14. In determining the proper starting point, I have reminded
K K
myself of the sentencing principles laid down in HKSAR v Hsu Yu Yi [2010]
L L
5 HKLRD 545 and HKSAR v Boma Amaso [2012] 2 HKLRD 33. I have
M also borne in mind the amount of money involved, the duration of the M
N offence, the defendant's role in relation to the movements of funds as well as N
O
his personal circumstances. O
P P
15. In SJ v Ngai Fung Sin Apple [2013] 5 HKLRD 104, Yeung V-P
Q Q
held :-
R R
S S
T T
2
Paragraph 13 on pp 204-205.
U U
V V
由此
- 7 -
A A
Generally speaking, the sentence passed in a "money laundering" case is
B B
primarily to reflect the amount of the "illicit/black money" involved.
Neither the fact that the "illicit/black money" was actually not derived from
C C
an indictable offence nor the defendant's ignorance of the actual source of
D the "illicit/black money" is necessarily a valid mitigating factor…3 D
E E
16. In the present case, there is no evidence showing that: (i) the
F F
funds received by the SCB Account were related to any predicate offence;
G G
and (ii) either the defendant was involved in or had any knowledge of any
H H
predicate offence.
I I
J 17. On the other hand, I cannot overlook the fact that almost J
HK$1.71 million and US$720,000 (i.e. approximately HK$7.32 million4 in
K K
total) went through the SCB Account within a period of less than 3 months.
L L
By letting someone use his bank account and thus allowing funds of
M M
unknown origins to pass through the SCB Account, the defendant played a
N N
pivotal role in helping the mastermind(s) of criminal activities to access
O O
their illegal funds without revealing their identities.
P P
Q Q
R R
S S
T 3
Paragraph 44, p 114. T
4
Adopting HK$7.80 to US$1 as the exchange rate.
U U
V V
由此
- 8 -
A A
18. In the circumstances, I adopt a starting point of 4 years'
B B
imprisonment 5 . With the timely guilty plea, the sentence becomes 32
C C
months. Apart from this, I see no other mitigating factors which warrant any
D D
further reduction. With the 25% enhancement, I sentence the defendant to
E E
40 months' imprisonment.
F F
G G
H (G. Lam) H
District Judge
I I
J J
K K
L L
M M
N N
O O
P P
Q Q
R R
S S
5
According to Wan Kwok Keung (supra), the starting point is 4 years or so where the "black
T money" involved is between $3 million and $6 million; and could be over 5 years if above $10 T
million. (See paragraph 15 of the judgment)
U U
V V
由此
A A
B DCCC 741/2024 B
[2025] HKDC 745
C C
IN THE DISTRICT COURT OF THE
D D
HONG KONG SPECIAL ADMINISTRATIVE REGION
E CRIMINAL CASE NO. 741 OF 2024 E
F
____________ F
G HKSAR G
H
v H
WONG Chiu-sang
I I
____________
J J
Before : H.H. Judge G. Lam
K Date : 29 April 2025 K
Present : Mr. Marc Corlett, counsel on fiat, for HKSAR.
L Mr. Tsoi Kwai Lok of M/s Wan Yeung Hau & L
Co., for the defendant.
M Offence : Dealing with property known or believed to M
represent proceeds of an indictable offence（處理
N
已知道或相信為代表從可公訴罪行的得益的 N
財產）
O O
P
REASONS FOR SENTENCE P
Q Q
The defendant pleaded guilty to a charge of "Dealing with
R R
property known or believed to represent proceeds of an indictable offence".
S S
In short, he allowed a relative to use his bank account.
T T
U U
V V
由此
- 2 -
A A
Summary of Facts
B B
C 2. On 13 August 2020, the defendant opened a bank account C
D (No.97386710821) with the Standard Chartered Bank (Hong Kong) Limited D
E
("the SCB Account"). He was the sole signatory of the SCB Account. On E
the opening mandate, the defendant stated that he was a "manager/
F F
executive" of a medical company in the "personal services, retail &
G G
wholesale" industry.
H H
I I
Deposits and withdrawals
J J
3. Between 13 August and 31 October 2020, the SCB Account
K K
received 15 deposits (by way of transfer from other bank accounts), which
L L
aggregated to a sum of HK$1,709,319.28. All 15 deposits were
M M
immediately withdrawn upon receipt by the account. During the same
N N
period, the SCB Account also received 36 deposits (by way of transfer from
O O
other bank accounts), which aggregated to a sum of US$567,429.67. All 36
P P
deposits were immediately withdrawn upon receipt by the account.
Q Q
R 4. Based on the nature and pattern of the transactions of the SCB R
S
Account, the prosecution alleges that it was used as a temporary repository S
T T
U U
V V
由此
- 3 -
A A
of funds; and the money remitted into the account did not commensurate
B B
with the defendant's personal and financial background.
C C
D D
5. The defendant now admits that during the offence period, he
E E
had dealt with the sums of HK$1,709,319.28 and US$567,429.67, knowing
F F
or having reasonable grounds to believe that the said sums, in whole or in
G part, directly or indirectly, represented any person's proceeds of an G
H indictable offence. H
I I
J
Mitigation & Sentence J
K K
6. The defendant is 52 and has a clear record. Defence solicitor
L Mr. Tsoi informed me that the defendant is married with a son (aged 19), L
M who is a university student. Since 2023, the defendant has been employed M
N by a drug store in Sheung Shui earning about $18,000 per month. He is the N
sole breadwinner of his family.
O O
P P
7. In mitigation, Mr. Tsoi explained that the defendant has a
Q Q
nephew surnamed Xu in the mainland who ran an import and export
R R
business. Around August 2020, Xu asked him to open a bank account in
S S
Hong Kong to facilitate Xu's business transactions. Without giving too
T T
much thought to the matter, the defendant agreed to help. After opening the
U U
V V
由此
- 4 -
A A
SCB Account, he gave Xu its account number and details. All withdrawals
B B
were carried out by the defendant in accordance with Xu's instructions. He
C C
performed all transfers and, when required, withdrew cash and handed it
D D
over to Xu. After the defendant was arrested, Xu has cut off all contacts.
E E
Mr. Tsoi submitted that the defendant is truly remorseful. His imprisonment
F F
would no doubt have a devastating impact on his family.
G G
H 8. The prosecution has applied for an enhanced sentence pursuant H
I to section 27(2)(c) and (d) of the Organized and Serious Crimes Ordinance I
J
(Cap.455) on the basis of prevalence as well as the nature and extent of harm J
caused to the community. Mr. Tsoi has no objection for the enhancement.
K K
L L
9. I bear in mind the Court of Appeal's decision in HKSAR v Xu
M M
Mai Qing CACC 464/2005, whereas Yeung JA (as he then was) held "Under
N N
section 27(11) of OSCO, what the prosecution has to prove is the prevalence
O O
of the offence, not the increase in the number of such offences1."
P P
Q 10. I have read the witness statement of CIP Li dated 18 Feb 2025. Q
R I am satisfied that in 2020, money laundering cases were prevalent in Hong R
S S
T T
1
Paragraph 16 on p.4 of the judgment.
U U
V V
由此
- 5 -
A A
Kong in terms of the number of cases as well as the total value of monetary
B B
loss.
C C
D D
11. There is clear and cogent evidence before me that money
E E
laundering by bank accounts opened by "ML Stooges" is still widespread
F F
and commonly being practised in Hong Kong today. What true criminals
G need are gullible scapegoats like the defendant who would take the blame G
H for them when the law enforcement takes action. The court must send a H
I clear message to the general public that people who play the role of "ML I
J
Stooge" will receive severe punishment, so that there is a deterrent effect. J
When there are fewer or no willing "ML Stooges", the criminal activities
K K
which rely on their bank accounts would fail.
L L
M M
12. This is a typical case of money laundering by way of a stooge
N N
bank account. The defendant claimed that he had mistrusted a relative
O O
during the offence period; however, the money laundering plan would have
P P
been meaningless without the SCB Account. Assuming what the defendant
Q said is true, given his role, the total sums which went through the SCB Q
R Account and the overall circumstances, I grant the prosecution's application R
S
and will enhance the sentence by 25%. S
T T
U U
V V
由此
- 6 -
A A
13. The Court of Appeal in SJ v Wan Kwok Keung [2012] 1
B B
HKLRD 201 held :-
C C
Generally, the sentence for "money laundering" offences should mainly
D D
reflect the amount of "black money" laundered and not the benefit obtained
by the defendant or others. The reason being that it is very difficult to prove
E E
the benefit concerned, and in most "money laundering" cases, there may
F not be evidence to show from what indictable offence the "black money" are F
in fact derived. Of course, if there is information to prove that the "black
G money" is originated from serious crimes, including drug trafficking, G
kidnap and blackmail, illegal human trafficking, other organized crimes,
H H
etc. or the defendant's benefit is huge, then the sentence should be adjusted
upward.2
I I
J J
14. In determining the proper starting point, I have reminded
K K
myself of the sentencing principles laid down in HKSAR v Hsu Yu Yi [2010]
L L
5 HKLRD 545 and HKSAR v Boma Amaso [2012] 2 HKLRD 33. I have
M also borne in mind the amount of money involved, the duration of the M
N offence, the defendant's role in relation to the movements of funds as well as N
O
his personal circumstances. O
P P
15. In SJ v Ngai Fung Sin Apple [2013] 5 HKLRD 104, Yeung V-P
Q Q
held :-
R R
S S
T T
2
Paragraph 13 on pp 204-205.
U U
V V
由此
- 7 -
A A
Generally speaking, the sentence passed in a "money laundering" case is
B B
primarily to reflect the amount of the "illicit/black money" involved.
Neither the fact that the "illicit/black money" was actually not derived from
C C
an indictable offence nor the defendant's ignorance of the actual source of
D the "illicit/black money" is necessarily a valid mitigating factor…3 D
E E
16. In the present case, there is no evidence showing that: (i) the
F F
funds received by the SCB Account were related to any predicate offence;
G G
and (ii) either the defendant was involved in or had any knowledge of any
H H
predicate offence.
I I
J 17. On the other hand, I cannot overlook the fact that almost J
HK$1.71 million and US$720,000 (i.e. approximately HK$7.32 million4 in
K K
total) went through the SCB Account within a period of less than 3 months.
L L
By letting someone use his bank account and thus allowing funds of
M M
unknown origins to pass through the SCB Account, the defendant played a
N N
pivotal role in helping the mastermind(s) of criminal activities to access
O O
their illegal funds without revealing their identities.
P P
Q Q
R R
S S
T 3
Paragraph 44, p 114. T
4
Adopting HK$7.80 to US$1 as the exchange rate.
U U
V V
由此
- 8 -
A A
18. In the circumstances, I adopt a starting point of 4 years'
B B
imprisonment 5 . With the timely guilty plea, the sentence becomes 32
C C
months. Apart from this, I see no other mitigating factors which warrant any
D D
further reduction. With the 25% enhancement, I sentence the defendant to
E E
40 months' imprisonment.
F F
G G
H (G. Lam) H
District Judge
I I
J J
K K
L L
M M
N N
O O
P P
Q Q
R R
S S
5
According to Wan Kwok Keung (supra), the starting point is 4 years or so where the "black
T money" involved is between $3 million and $6 million; and could be over 5 years if above $10 T
million. (See paragraph 15 of the judgment)
U U
V V