CCAC assisted Hong Kong with detection of case involving accounting enterprise group that helped Macao construction company to falsify accounts for listing application

MACAU, May 6 - The CCAC has assisted the Independent Commission Against Corruption (ICAC) of Hong Kong with the detection of a case of alleged falsification of accounting reports by a Macao construction company in collusion with a Hong Kong accounting enterprise group in order to deceive the Hong Kong Exchanges and Clearing Limited (HKEX) into approving its listing application.

The construction company is a Macao enterprise and the person-in-charge is a Macao citizen. Therefore, the CCAC followed the signs of crime and opened a file for investigation. The investigation of the case reveals that the person-in-charge of the construction company requested four auditors and consultants of a Hong Kong accounting enterprise group to create false accounts to deceive the HKEX and falsely alleged that the relevant accounting reports accurately reflected the financial situations of the construction company, making the HKEX approve its application of listing on the Main Board. Subsequently, the construction company offered a reward of HK1.5 million to the individuals involved for subscription of the placement shares in the initial public offerings of the construction company.

The CCAC and the ICAC of Hong Kong conducted a joint operation in as early as 2021. They conducted searches at the construction company and the Macao branch of the accounting enterprise involved as well as questioned several individuals involved. The ICAC of Hong Kong has already laid charges against, among others, the auditors and consultants of the accounting enterprise. Investigation of the case is ongoing in Macao and Hong Kong.