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Christmas deal

Rachel, a customer service officer, treated her supervisor Rosanne to dinner and gifted her concert tickets to persuade her to avoid scheduling night shifts during the peak Christmas travel period.
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Christmas deal
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Rachel, a customer service officer at an airline company, was well aware that Christmas was a peak travel period and that she was likely to be assigned night shifts during the season.  Rachel then  privately treated her supervisor, Rosanne, who was responsible for arranging the staff duty roster, to dinner to pre-celebrate Christmas at a decent restaurant.

During dinner, Rachel gifted Rosanne with two concert tickets of an idol she knew Rosanne was interested in as a Christmas present, claiming these tickets were a gift from a friend.  She then asked Rosanne if she could avoid scheduling her for night shifts during Christmas when arranging the duty roster.  Rosanne felt hesitant about this, but Rachel repeatedly assured her that no one would know about their arrangement as long as they kept it as a secret.  Rachel also emphasised that concert tickets were not cash and that accepting them would not violate any laws.

Case Analysis

Concert tickets are advantages under the Prevention of Bribery Ordinance (POBO).  If Rosanne, without obtaining the permission of her airline company, accepted the concert tickets from Rachel for providing preferential treatment in arranging the duty roster, both Rosanne and Rachel might breach Section 9 of the POBO.

According to Section 19 of the POBO, trade custom or practice does not serve as a defence for the offeror and the acceptor of an advantage.  Although the tickets were gifts given to the supervisor during Christmas, this would not be a defence in court.  The court would only consider whether Rosanne obtained the approval from her principal when accepting the concert tickets.

As a managerial staff, Rosanne should not accept advantages or entertainment that are excessive or frequent from subordinates to prevent any perception of bias and to ensure she can carry out her supervisory duties impartially.

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Unexpected windfall

Owing to frequent overseas trips to source products, Queenie, a trade company owner, approached her friend Quinton, who worked as a ground staff for an airline company, hoping he could use his employee benefits to purchase cheaper tickets for her.
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Queenie owned a trading company and her frequent overseas trips to source products had made airfare a significant operational expense.  One day, she approached her friend Quinton, who worked as a ground staff for an airline company, hoping he could use his employee benefits to purchase cheaper tickets for her.  In return, she promised to pay him 30% of the price difference as commissions.

Quinton, facing financial difficulties due to failed investments, saw this as an opportunity to earn extra money and alleviate his financial pressure.  He also did not want to jeopardise his friendship with Queenie.  Quinton quickly agreed to Queenie’s request.  Subsequently, Quinton nominated Queenie as his travel companion for trips to Europe, using his employee discount to purchase multiple flight tickets for her.

Case Analysis

Airline staff should stand firm in resisting temptations.  Quinton, a staff member of an airline company, is regarded as an agent.  If he, without the permission of his principal, i.e. the airline company, accepted advantages for abusing his staff privilege of nominating Queenie as a travel companion, he might contravene Section 9 of the Prevention of Bribery Ordinance (POBO).  Queenie, who offered the advantage, might also be guilty of an offence under the POBO.  Quinton should adhere to the company guidelines regarding the nomination of travel companions and not abuse his staff privilege for personal gain.

Quinton’s illegal acts could be attributed to his investment failure and poor financial management, which made him susceptible to financial temptations.  Ultimately, he resorted to taking risks to alleviate his financial burdens.  Employees should always exercise financial prudence and avoid engaging in high-risk investments or gambling activities to prevent falling into corruption traps.

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Plan falls through

The proprietor of a forwarding company offered advantages to Patrick, a freight manager of an airfreight company, for securing cargo space during peak seasons. However, a strike broke out before Patrick took action.
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Patrick, a freight manager of an airfreight company, was responsible for handling freight reservations made by forwarding companies. He became closely acquainted with Paul, the proprietor of a forwarding company.  Paul often treated Patrick to dinners at luxurious restaurants and they sometimes spent weekends playing golf together.  Because of their close relationship, Paul was confident he could always rely on Patrick for sufficient cargo space.

About a month before the Easter holiday, Paul invited Patrick to a golf trip and covered all the expenses to win him over.  During the trip, Paul casually mentioned that he had received many forwarding orders to transport goods to Europe and expected Patrick’s “usual support” regarding allocation of cargo space.  He also hinted that he would not take Patrick’s assistance for granted and would reciprocate with a 5% rebate on the freight charges.

However, shortly after the golf trip, a labour strike occurred at several airports in Europe, and Patrick’s boss took charge of the company’s contingency plan for cargo allocation.  As a result, Patrick was unable to assist Paul.

Case Analysis

Rebates are considered advantages under the Prevention of Bribery Ordinance (POBO).  Patrick might breach Section 9 of the POBO since he accepted advantages from Paul, i.e. free golf trip and the 5% rebate of the freight charges, without obtaining permission from his principal, i.e. the airfreight company, as an inducement for reserving extra cargo space for Paul.  Paul might also breach the POBO as the offeror of the bribe.

Even though Patrick could not allocate the cargo space to Paul, the corruption offence was still pursuable under the law.  According to Section 11 of the POBO, once an agreement to offer and accept a bribe is reached, both the offeror and acceptor of the bribe shall commit an offence even if the acceptor claims that he did not actually carry out the act as agreed.

Although “entertainment” is not an “advantage” under the POBO, it can be a “sweetener” in a corrupt dealing.  Therefore, Patrick should adhere to the company’s code of conduct regarding the acceptance of entertainment from business clients.  He should also decline invitations to meals or entertainment that are excessive in nature or frequency while conducting official duties to avoid any conflict of interest.

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Training Package on Corruption Prevention in Procurement

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Training Package on Corruption Prevention in Procurement
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[EN] Training Package on Corruption Prevention in Procurement https://cpas.icac.hk/UPloadImages/InfoFile/cate_43/2016/ca552674-5084-4240-91c8-d7135353156b.pdf Please use the image at the left [ZH-HANT] 採購人員防貪培訓教材 https://cpas.icac.hk/UPloadImages/InfoFile/cate_43/2016/4a7be47a-32b0-4546-95a0-1ff1562a2fc0.pdf Please use the image at the left [ZH-HANS] 采购人员防贪培训教材 https://cpas.icac.hk/UPloadImages/InfoFile/cate_43/2016/4a7be47a-32b0-4546-95a0-1ff1562a2fc0.pdf Please use the image at the left
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