Hong Kong construction veteran exposes bid-rigging and Shenzhen kickbacks

Former senior project manager Raphael Chan has detailed rampant corruption in Hong Kong's construction industry, including bid-rigging syndicates linked to triads. He shared his experiences following the deadly Wang Fuk Court fire in Tai Po last month, which killed at least 161 people and prompted arrests tied to corruption and fraud. Chan has assisted the Independent Commission Against Corruption in probing such groups.

Raphael Chan entered Hong Kong's construction sector in the mid-1990s, believing that quality building works could improve people's lives. But more than two decades later, he quit, disillusioned by what he called rampant corruption in the industry.

As a former senior project manager at a consultancy company, Chan witnessed how syndicates, often led by triad-linked masterminds, plotted bid-rigging as early as 10 years in advance, bribed key stakeholders, and pocketed up to 50 per cent of earnings from maintenance contracts. He said bosses, colleagues, and peers routinely engaged in under-the-table dealings, with kickbacks sometimes paid in Shenzhen saunas.

Chan shared his experiences with the South China Morning Post after the deadly Wang Fuk Court fire last month, which killed at least 161 people and led to arrests linked to corruption and fraud. The Tai Po residential estate had been under renovation since July last year, covered in scaffolding and green mesh. Authorities suspect flammable foam panels used to seal windows and nets that failed fire-retardant tests fuelled the blaze's rapid spread across seven of its eight blocks.

After graduating from the then Technical Institute—now the Institute of Vocational Education—Chan joined an architectural consultancy as a draftsman. He has also helped the Independent Commission Against Corruption with its investigations into such syndicates.

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