ENG-1980 — Page 177

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PUBLIC ORDER

During 1980, a number of special operations aimed at specific triad groups were carried out. Amongst these was an operation against the 'King Yee', one of Hong Kong's prominent triad societies, which resulted in 35 people being arrested and charged with multiple counts of triad-related offences. The division also broke up a triad initiation ceremony conducted by the 14K Triad Society, in June.

By the end of the year, 434 people had been arrested for offences with triad connections, 82 had been prosecuted for blackmail and nine charges of conspiracy were filed.

Commercial Crime

The Commercial Crime Bureau concluded investigations into two public companies. In one of the cases, the ex-managing director was convicted on various fraud charges connected with the flotation and trading of a company between 1973 and 1975. In the other case, an order was granted for the ex-chairman to be extradited from the United States of America to face charges relating to the issued share capital of the company. Investigations continued into several other complex fraud cases.

Enquiries also continued into the sinking of three cargo vessels and allegations of fraud stemming from subsequent insurance claims. One shipowner was charged in this connec- tion (but was subsequently acquitted), while two other ship operators were charged with offences relating to the alleged bribing of insurance investigators.

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Action was taken against both possessors and producers of counterfeit currency and coinage. Three separate syndicates counterfeiting HK$5 coins were smashed and a large quantity of counterfeit coins and minting equipment was seized. In one counterfeit currency case, a Chinese man was arrested for counterfeiting United States banknotes, an activity he had intermittently been engaged in for more than eight years. Partially-completed bank- notes to the face value of about HK$24 million were seized.

Narcotics

Continued police action hampered the attempts by small groups to import quantities of narcotics and to expand their operations. The import by small loosely-knit syndicates of relatively high-quality heroin base (a trend that started in 1978),__remained unchanged during 1980. The general availability of heroin at street level increased over that of 1979 and the average purity remained moderately stable throughout the year, averaging about 26 per cent. Retail prices remained unchanged, varying between about $400,000 and $500,000 per kilogram, although wholesale illicit prices dropped slightly.

Attendance at Methadone Treatment Centres, which registered a sharp increase in mid- 1979, remained stable at a moderately high level above that recorded prior to the period of shortage in 1979 - showing a 7.6 per cent decline over the whole year from about 7,250 to 6,700 people daily.

During 1980 it was apparent that there was again a considerable shortage of opium in the Golden Triangle area straddling the borders of Burma, Laos and Thailand, although it was not as severe as that of the previous year. This was due to an abnormally heavy rainfall in the planting season at the end of 1979 and drought at the beginning of 1980. It is also believed that the shortfall of narcotics from the area was offset by increased cultiva- tion in the Iran-Pakistan-Afghanistan area.

Abuse of cannabis, although a relatively minor problem in comparison to heroin abuse, continued to be closely monitored. The most disturbing aspect of this problem was the continuing trend of bulk imports for sale and distribution, as opposed to the situation in previous years when the drug was imported in small quantities for personal use.