Hong Kong Cleaning Company Employee Charged in Historic Antitrust Investigation Case

Hong Kong’s Competition Commission has initiated its first-ever criminal case linked to non-compliance with investigatory powers against HKC, as reported by the South China Morning Post. The case involves Jessica Lui Miu-ching, a 53-year-old employee of Hong Kong Commercial Cleaning Services Limited (HKC), who has been charged with the destruction of evidence during an antitrust investigation.

The charges stem from an incident on September 23, 2019, when Lui allegedly attempted to delete five documents from company computers during an investigation into suspected price-fixing among cleaning service providers. The Competition Commission, which was probing potential collusion between HKC and Man Shun Hong Kong & Kln Cleaning Company Limited, uncovered evidence that prompted them to report the case to law enforcement.

Per the South China Morning Post, Lui’s actions have led to her being charged with one count of disposing and concealing documents, a serious offense under Hong Kong’s Competition Ordinance. The case was brought before the West Kowloon Court on Thursday, where Magistrate Tsang Hing-tung postponed further proceedings until October 10, setting Lui’s bail at HK$5,000 (US$641).

“This is the first instance where an individual is being criminally prosecuted for hindering the commission’s investigative efforts,” the Competition Commission stated. The agency emphasized its unwavering commitment to enforcing the Competition Ordinance, warning that obstructing investigations, including by destroying, falsifying, or concealing relevant documents, is a criminal offense punishable by up to two years in prison and a HK$1 million fine.

The watchdog’s investigation into HKC and Man Shun, which began after complaints of price-fixing surfaced, revealed that the two companies had exchanged sensitive commercial information regarding 17 tenders submitted to the Housing Authority between May 2016 and August 2018. According to a 2021 press release from the commission, this information was allegedly used to influence bids for cleaning contracts worth approximately HK$180 million.

During the investigation, commission officers, armed with a search warrant, discovered attempts to delete critical documents at HKC’s office. Further findings indicated that the two companies shared office space and IT infrastructure, enabling HKC staff to access commercially sensitive documents belonging to Man Shun, including those related to Housing Authority contracts.

Source: The South China Morning Post