Latest news with #XinDingXinTrade
South China Morning Post
9 hours ago
- Business
- South China Morning Post
Hong Kong centre takes legal action against firm suspected of water procurement fraud
A testing centre, where a Hong Kong lawmaker serves as a director, has taken legal action against a company suspected of procurement fraud over false claims that the body had issued safety certificates for 1.88 million bottles of water supplied to government offices. The Hong Kong Standards and Testing Centre clarified on Wednesday that it had not provided any services to Xin Ding Xin Trade, the water supplier suspected of defrauding the government in the HK$52.9 million (US$6.8 million) contract. 'The centre is following up on this incident with the relevant government departments and has taken legal action to pursue legal liabilities,' it said. Jeffrey Lam Kin-fung, a centre director and member of the Executive Council, the city's top decision-making body, previously denied any involvement with tests conducted on 'XinLe' bottled water provided by Xin Ding Xin. The water procurement controversy came to light on Saturday last week when the Government Logistics Department announced it had 'partially terminated' a contract with the company to supply bottled water to civil servant offices on Hong Kong Island and some outlying islands for three years. Xin Ding Xin Trade's director Lui Tsz-chung, and his wife and shareholder Chan Pik-lam were arrested. Lui was charged with one count of fraud on Monday, while Chan was bailed.
South China Morning Post
3 days ago
- Business
- South China Morning Post
Hong Kong government faces scrutiny over bottled water procurement scandal
Lawmakers have called for a comprehensive review of the authorities' procurement process following allegations that a company supplied infringing mainland Chinese-branded bottled water to government offices, prompting a police investigation. The Post also found that the directors of the company involved, Xin Ding Xin Trade, were linked to unpaid loans of HK$8 million (US$1.1 million) via another firm, just one day after its HK$52.9 million contract with the Government Logistics Department was partially terminated. This contract involved delivering 1.88 million bottles of drinking water to government offices. The scandal emerged after police said they were investigating suspected illegal activities by the company, following government statements that it was no longer confident in the company's ability to fulfil the contract based on recent operational information received. In June, Xin Ding Xin secured a 36-month contract to supply 'XinLe' bottled water to government offices on Hong Kong Island and the outlying islands. The company claimed the water would be manufactured by Robust (Guangdong) Drinking Water's Guangzhou branch. However, Robust's legal director in Guangdong accused Xin Ding Xin of listing them as one of the manufacturers on the labels of its XinLe bottled water without authorisation. He told local media that the company had reported the matter to Hong Kong authorities and was considering administrative complaints, civil lawsuits or criminal proceedings. The Post on Sunday contacted Robust's customer service on WeChat, where an operator confirmed that Xin Ding Xin is not a product of the company.
