During the first month of the year, Alvin Chau, the 49-year-old founder and ex-CEO of casino operator Suncity Group Ltd., was formally charged for illicit acts such as fraud, involvement in criminal activities, money laundering, and unauthorized gaming. Twenty others were also charged with the same offences.
While the prior CEO was not found guilty of money laundering in the Court of First Instance, he was handed a combined jail term of 18 years. He, along with a number of other defendants, was exonerated of the fraud allegations, thereby freeing him from the duty to repay a staggering HKD8.67 billion ($1.08 billion) to the Macau government and a plethora of casinos operators stationed in the city.
As per the recent verdict from the Court of Second Instance announced at last week’s end, the penalties for nine accused parties linked to unauthorized betting, illicit gambling, underhand betting, and collusion in criminal activities have been upheld. The prison term for Mr. Chau has been similarly ratified.
Escalated Money Laundering Allegations
The erstwhile king of junket, together with Philip Wong Pak Ling, the Financial Head of Suncity Group’s, were declared guilty on charges associated with aggravated money laundering. The duo, along with seven other defendants, were notified they would have to pay an enormous restitution to the Macau government. The sum, roughly HKD25.51 billion ($3.25 billion), encompasses the profits derived from illegal gambling modalities as well as funds generated via money laundering.
Per the latest court ruling, Mr Chau’s faction secured over HKD17.66 billion ($2.25 billion) from shady betting practices and approximately HKD7.21 billion ($921 million) from proxy gambling. Alongside Mr Wong and Cheung Ling Ling, the syndicate’s founder reportedly gained profits on the order of HKD617.0 million ($78 million) and CNY17.0 million (US$2.3 million) via money laundering tactics.
In January, Ms Cheung was cleared of charges by the inferior court. However, the Court of Second Instance has now sentenced her to a five-year prison term for her implicated role as a co-conspirator in the aforementioned money laundering charges. Ms Cheung, who managed the assets of Suncity Group, also received a different prison sentence from a mainland China court located in Wenzhou, tied to similar accusations involving the same organization.
In September 2022, the Intermediate People’s Court of Wenzhou imposed a fine of CNY800,000 ($112,700) on Ms Cheung and delivered a seven-year jail term for unlawful business operations and founding a casino illegally. Ms Cheung accepted the verdict at the time and expressed that she would not seek an appeal.
Lastly, according to previous week’s verdict, the penalties for four defendants were reduced from 15 years to 12.5 years. These defendants still have the opportunity to appeal to the Court of Final Appeal in Macau.
