Hong Kong Chu Hai College filed a lawsuit in the High Court on Monday alleging that its finance director and two others embezzled more than HK$25 million by disguising transfers as legitimate expenses.
Hong Kong Chu Hai College, based in Tuen Mun, has sued finance director Ray Yip Kam-chun, Ho Chung-ling and Rivers Design Engineering. The private institution claims the defendants misappropriated funds exceeding HK$25 million, with Yip allegedly receiving more than HK$17.3 million and the other two defendants over HK$7.7 million. The lawsuit, filed in the High Court on Monday, seeks to recover the money transferred under the guise of payroll, autopay and academic expenses. The college is also pursuing damages, including equitable compensation from Yip for fraudulent misrepresentation, breach of confidence, breach of implied duty of fidelity and breach of fiduciary duties. Ho Chung-ling is the sole director and shareholder of Rivers Design Engineering, according to the writ seen by the South China Morning Post on Tuesday.