Hong Kong police arrest 25 for allegedly cashing out HK$5.7 million in MPF funds illegally
- Suspects are accused of illegally claiming amounts from HK$2,000 to HK$600,000, a few instigated and assisted by rogue middle men
The suspects – 18 men and seven women – who had various occupations including construction workers, clerks and salespeople were accused of claiming benefits ranging from HK$2,000 to HK$600,000 between late 2022 and early this year, according to the force.
Inspector Lam Ying-pan of the Wong Tai Sin district crime squad said on Monday that police were notified of the cases by authorised MPF agencies which had detected suspicious activity.
Lam said in some of the cases, MPF contributors submitted false declarations purportedly issued by the Home Affairs Department, claiming they had plans to leave Hong Kong for good as part of their applications for early fund withdrawals.
“Additionally, some claimants submitted bogus medical certificates stating that they were completely incapable of managing their own affairs,” he said. “Their intention was to withdraw their MPF contributions earlier than permitted.”
After gathering evidence, police arrested the 25 residents in a series of raids across the city between Tuesday and Friday last week.
The suspects were detained on suspicion of fraud and using forged documents – offences punishable by up to 14 years in jail.
During the arrest operation, code-named “Solelamp”, officers seized related MPF and bank documents.
Police investigations revealed a few of the suspects received calls or text messages from rogue middlemen claiming they could help MPF contributors make early withdrawals, according to the inspector.
“Once the claimants successfully withdrew their funds, these middlemen or intermediaries would charge a commission fee ranging from 10 to 50 per cent of the money involved,” Lam said.
He said the investigation into those middlemen was continuing, adding that further arrests could not be ruled out.
Police said a few of the suspects were asked by the middlemen to provide personal information, sign documents and even go through a facial recognition process on a mobile app, to open a virtual bank account.
Lam warned the middlemen could steal funds from those accounts after the early withdrawal of MPF savings was approved and the money transferred into them.
Chief Inspector Chow Chun-pong reminded residents to be vigilant when receiving calls or messages from unknown sources and to refrain from disclosing personal information to any unfamiliar third parties.
“Before signing any documents, it is crucial to fully understand the content and details of the document and to avoid signing blank or incomplete forms,” Chow warned.
Police said all 25 suspects had been released on bail pending further investigation.
Under the city’s compulsory pension fund, participants can withdraw their MPF savings only when they reach the age of 65. They may apply for early withdrawal in the event of permanent emigration from Hong Kong, total incapacitation, terminal illness or on behalf of a deceased family member.
