TNAG-0678-FCO40-827-Allegations-of-corruption-and-bribery-in-Hong-Kong-1977 — Page 119

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10: PRHONGAID LONDON NINE :-

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IN THE KOWLOON TRAFFIC SYNDICATE, A SIMILAR SYSTEM OPERATED, EXCEPT THAT HERE THE PEOPLE PAYING WERE PUBLIC LIGHT BUS OPERATORS, PAK PAI AND LORRY DRIVERS -- THEY PAID FOR PROTECTION AGAINST PROSECUTION. WITNESSES IN THIS TRIAL ALSO TOLD HOW STATEMENTS WERE ALTERED AND FALSE PLANS OF SCENES OF ACCIDENTS WERE DRAWN UP TO SHIELD PEOPLE WHO WERE WILLING TO PAY TO AVOID THE CONSEQUENCES OF CARELESS OR DANGEROUS DRIVING WHICH HAD CAUSED TRAFFIC ACCIDENTS.

AMTHER SYNDICATE BROUGHT TO COURT RECENTLY WAS BASED IN WANCHA I. THE PEOPLE FORCED TO PAY IN THIS CASE WERE HAWKERS, AND HERE WE FOUND THAT SOME OF THEM WERE REQUIRED TO PAY NOT JUST ONE, BUT SEVERAL SYNDICATES. I AM SURE THAT YOU, TOO, WILL FIND IT HEART-REDNING THAT THESE SMALL OPERATORS, OFTEN DOING, I THINK, A GOOD JOB SOCIALLY AND ECONOMIV IPARER THE

IT IS VIRTUALLY COMMUNITY, HAVE TO PAY IN ORDER TO SURVIVE. IMPOSSIBLE TO ASSESS ACCURATELY HOW MUCH THE HAWKERS PAY IN TOTAL TO POLICE AND OTHER SYNDICATES, BUT I ESTIMATE THAT IT CAN, AT TIME, AMOUNT TO SEVERAL HUNDRED THOUSAND DOLLARS A DAY.

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1345: PROHONGAID LONDON TEN:-

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THE PAUL LEE CASE SHOWED HOW WIDESPREAD CORRUPTION HAD BEEN,

HERE, MONEY AND I FEAR STILL IS, ON PWD CONSTRUCTION SITES.

WAS PAID TO AVOID +UNNCESSARY DELAYS+ IN CONSTRUCTION. PERSONNEL WERE GIVEN +RETAINERS+ AMOUTING TO DOUBLE THEIR SALARIES. IN THIS PARTICULAR CASE THERE WAS NO EVIDENCE OF SUB-STANDARD CONSTRUCTION, BUT THERE IS AMPLE EVIDENCE OF POOR STANDARDS OF WORKMANSHIP ELSEWHERE, AND THERE MUST BE A STRONG INFERENCE, AT LEAST, THAT SOME CORRUPTION WAS INVOLVED ON THESE PROJECTS. AN EXAMPLE OF THIS WAS IN THE INVESTIGATION INTO A ROAD BEING BUILT IN CONNECTION WITH THE HIGH ISLAND WATER SCHEME, WHERE BOULDERS SOME 6 FEET ACROSS HAD BEEN USED AS FILL. THE SPECIFICATIONS IN FACT CALLED FOR FILL NO LARGER THAN 18 INCHES IN DIAMETER.

INVESTIGATIONS SHOW THAT. CONTRACTORS GO THROUGH ALL KINDS OF IN THE DECEPTION IN THEIR ATTEMPTS TO COVER UP THESE PAYMENTS. PAUL LEE CASE, ALTHOUGH INITIALLY CALLED 'STEAK FEES' AND

' ENTERTAINMENT FEES', THE MONEY WAS SUBSEQUENTLY DISGUISED UNDER

WE HAVE FOUND THAT IN MANY THE TITLE HIRE OF EQUIPMENT'.

MUCH

CASES MILLIONS OF DOLLARS FLOW IN AND OUT OF ACCOUNTS, BOTH BUSINESS AND PERSONAL, WITHOUT ANY APPARENT EXPLANATION. OF THIS MONEY IS UNDOUBTEDLY USED FOR OTHXR NEFARIOUS PRACTICES WITHIN THE CONSTRUCTION INDUSTRY, BUT THERE IS NO DOUBT ALSO THAT SOME OF IT IS USED FOR OVERSEAS PAY-OFFS TO GOVERNMENT OFFICIALS.

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