Sir Murray Maclehose and the end of fragrant grease

Submitted by Andrew Craig-Bennett on Fri, 08/20/2010 - 07:26

The time has come to consider the era of Hong Kong’s longest-serving, and, by general consent, greatest, Governor – Jock the Sock, aka Sir Murray MacLehose, aka Lord MacLehose of Beoch, 1971-82.

Unlike earlier Governors he is not commemorated by a road, a pier or a fireboat. He’s got a country walk named after him – the 100 kilometre long MacLehose Trail – but he’s in absolutely no danger of being forgotten.

He had the physical qualities of a good Governor – he was very fit (hence the Trail!) very tall and “of a benevolent disposition”. He was genuinely popular:

(note that he's taken his hard hat off, in order to seem slightly less tall - the chap next to him is another notable civil servant, Augustine Chui)

He created the Country Parks, through some of which his trail passes, he hugely expanded the Public Housing Programme, and upgraded the quality of housing provided, so that today 40% of the population live in public housing, he expanded compulsory education to nine years, he made Cantonese an official language, he built New Towns, like Tuen Mun and Sha Tin, he hugely increased the cultural and arts facilities in Hong Kong (they are really, really, excellent, today) with the creation of the Arts Centre, the Academy of the Performing Arts and the Arts Festival, he brought in what is recognisably a Welfare State, and he started the MTR (the Mass Transit Railway).

He also created the District Boards, in 1977, and in 1982 election to the District Boards was made by (shhh!) universal suffrage!

He also cleaned the place up – physically with zealous anti-littering campaigns and financially with the Independent Commission Against Corruption (ICAC), with which you tangle at your severe peril, and which came closer than the 67 riots to bringing Hong Kong to a grinding halt!

He did not, however, put up the tax rate to do these things; he leased land for some of it and he bullied the British Government into coughing up for the rest.

Let us now consider the formation of the ICAC:

The expression "tea money" has vanished from the Hong Kong lexicon. People will not know what you mean by it. People from Vietnam, Thailand and Burma have no such difficulty, however.

It was not ever thus. "Tea money" was, and in some places still is, the small routine bribe that accompanies any transaction - the note that is folded into your driving licence or passport, the little something for the nurse in the hospital, the small present for the schoolteacher, the small consideration for a service which allows Government servants, on insanely inadequate salaries, to feed and clothe their children. It is, in Chinese societies, hard to separate tea money from the lucky money that you routinely give to any child or servant at Spring Festival, but the difference is there.

In Hong Kong from its founding until the 1970s "tea money" was almost universal; it allowed those who could dispense it correctly a level of service which those who could not never enjoyed.

At the top of the tea money pile, taking rake offs from everyone else, were the triads and the Police.

The Police who fought the rioters stuck together both thanks to the usual bonds of loyalty in a disciplined service and thanks to the less usual bond of money. English and Chinese policemen were in it together, up to their necks.

It has been estimated that from 1963 to 1973 the triads and the police, between them, took in ten billion Hong Kong dollars in tea money.

There were laws against this, of course; there had been a Corrupt Practices Ordinance since 1897.

There was, however, a problem, which you have already spotted. Quis custodiet ipsos custodes? With the Police Force up to their necks in corruption, and hand in hand with the triads, you would have to be mad, or possibly suicidal, to report a corruption case to the Police.

It is very hard to find a picture of Peter Godber that does not show him with the profuse beard that he grew when he retired. This shot from the ICAC website is the best that I can manage:

Godber was a Chief Superintendent who had played a heroic part, in command of one of the Police Tactical Units, in the defeat of the 67 rioters. However, he was just a little too brazen, or maybe too careless, in remitting quite large sums of money abroad - a remittance of C$12,000 under the name of "PF Gedber" in 1971 attracted attention and the Anti-Corruption Office began an enquiry.

They proceeded slowly, but in April 1973 Chief Superintendent Godber applied for early retirement, giving the usual three months notice. This triggered an enquiry into his bank balances - there was already, in Hong Kong, an offence of being inexplicably wealthy. He was sitting on HK$4,377,248, (multiply these figures by at least ten for today's values) mostly in overseas accounts. With Godber due to retire, the Police suspended him from duty and, under Section 10 of the Anti-Bribery Ordinance, on the 4th of June he was notified of the investigation and he was given a week to explain where the money had come from. On the same day, his flat and his car were searched, and a stash of silver bars were found. Two days later, Mrs Godber flew back to England on holiday. The Chief Superintendent, however, could not leave - the Immigration Department had orders to detain him if he tried to do so by rail, sea or air.

Next day, on the seventh of June, he bought a ticket to London via Singapore, pulling out a wallet which the travel agent noticed was so stuffed with HK$500 notes that he could not fold it, got a taxi to Kai Tak airport and, by showing the pass, issued to all senior officers, which allowed him to go to the air side from the land side of the airport, crossed to the air side, where he got on a flight to Singapore, where he changed planes and flew to England, joining his wife in their retirement cottage.

There was no question of extradition because "possessing financial assets disproportionate to an official emolument" was not, and is not, a crime in England. Nobody in Hong Kong would give evidence that they had seen Godber receiving a bribe, so he could not be extradited.

Peter Godber, the most senior Hong Kong policeman ever to be charged with corruption, was home safe.

There was an explosion of rage in Hong Kong. Led by student activists, mainly from CUHK, mass protests and torchlight vigils were held, with placards demanding "END CORRUPTION - ARREST GODBER"

The Governor called for an enquiry, which was held, very fast, and it reported, recommending that anti-corruption matters should be separated from the Police Force.

Presenting the report to Legco, MacLehose said:

"I think the situation calls for an organisation, led by men of high rank and status, which can devote its whole time to the eradication of this evil. A further and conclusive argument is that public confidence is very much involved. Clearly the public would have more confidence in a unit that is entirely independent, and separated from any department of the Government, including the Police."

He set up just such a unit, the Independent Commission Against Corruption, in February 1974, staffing it initially mainly with officers from UK police forces. The Hong Kong public were initially unimpressed, nicknaming it "I Can Accept Cash".

The first task of the ICAC was to "get Godber".

This they did. There was a breakthrough - a British superintendent, Ernest Hunt, who was already in jail for corruption said that, in exchange for a reduced sentence, he would give evidence that he had seen Godber take a bribe of HK$25,000 from a Chinese superintendent to be appointed as Station Superintendent, Wanchai. That amount would have bought you a  really nice flat, at the time (the HK property market was in one of its less optimistic moments). The point was - the post was "worth" at least HK$60,000 a month in tea money from the vice trade. The Chinese superintendent was arrested and he, too, sang like a canary; Godber could now be charged and extradited, as indeed he was. He went down for four years, the maximum sentence available on the one charge with which he was indicted. Peter Godber is still alive and living in Spain; most of the four million has not been recovered.

Hunt got eight months. He later told an English newspaper that he had made six million HK$ in corrupt payments whilst he was in Hong Kong and that "95%" of the Force were corrupt.

Slightly lower down the tree, things were, if anything, even "better":

These men are Hon Sum, Lui Lok, Nan Kong and Ngan Hung, the four station sergeants in charge of Hong Kong Island, Kowloon, Yau Ma Tei and the New Territories in the Sixties.

Hon retired in 1971, owning 49 properties in Hong Kong and two Mercedes cars, and moved to Taiwan with his wife and concubines. He died in 1999 and the ICAC have just done a deal with his family and collected HK$140 million. Lui is still in Taiwan.

The ICAC started to be taken seriously. The upshot was a riot by Police officers, who stormed the ICAC offices in October 1977, beat up ICAC staff and threatened to strike.

A partial amnesty for lower level Police corruption before 1977 had to be agreed; on that basis things settled down.

It is interesting to note that the ICAC's early case load was mainly concerned with Government corruption - today such cases are rare.


Submitted by
groovergreen (not verified)
Fri, 08/20/2010 - 13:15

Excellent post. I never knew HK had a law against being inexplicably wealthy -- how brilliant. I wish we had the same in Australia; we never will, of course, because of this thing called "mateship" (corruption).

Now, this post gives me an excuse to ask the experts: How is Maclehose pronounced -- MAC-le-HOSE or Mac-LEE-hose? (Tho I do prefer Jock the Sock!) Let me throw around that name with confidence when I'm next in HK and hiking the trail.

Submitted by
sf (not verified)
Sat, 08/21/2010 - 09:01

There was a 2009 HK movie named I Corrupt All Cops. Although the movie characters are mostly fictional, the script was closely based on rampant corruptions found in HKP during the 60's, formation of ICAC and the eventual downfall of the entire corrupt upper echelon within the force. Worth seeing if you are interested in these events during a rather dark chapter of the HK Police Force. The US version comes with English subtitles.

Submitted by
Ho Lim-peng (not verified)
Mon, 08/23/2010 - 05:24

He was also frequently referred to as "Pringle"  - a fine Scottish (k)nit

Submitted by
sf (not verified)
Tue, 09/21/2010 - 08:38
Crooked cop’s family returns $20 million

By Mata Press Service – Friday June 9, 2006

Sgt. Hon Shum
Sgt. Hon Shum

The family of a notorious police sergeant who fled to Vancouver with millions of dollars he had accumulated in bribes during a 31-year career has returned part of the ill-gotten fortune to the Hong Kong government.

Hon Kwing-shum, alias Hon Shum or Hon Sum, served in the Royal Hong Kong Police from September 1940 until he retired in August 1971 during which time he had earned a total of about C$35,000.
But upon retirement he and his beneficiaries owned millions of dollars worth of assets. This included over 50 properties, various bank accounts, investments in Hong Kong, Florida, Thailand and British Columbia.

Last month, seven years after the corrupt cop, known as one of the “Five Dragons” died – his family reached an out of court settlement and gave up about C$20 million dollars worth of property to the government of Hong Kong.

The Hong Kong government had launched a lawsuit to get at the assets which they said was obtained through corrupt means by Hon and his henchmen.

The assets handed over were all in Hong Kong and do not include the millions of dollars worth of property and investments linked to Hon in Canada.

A covert police study obtained by The Asian Pacific Post showed that Hon and his family had bought at least 11 residential and commercial properties and established a dozen companies in Vancouver and a restaurant on Robson Street.

The properties were mainly located in the posh Shaughnessy, Kerrisdale and South Granville neighbourhoods.

The police study done by Asian Organized Crime Investigators believes that up to 44 former Royal Hong Kong cops, followed the lead of Hon and the other so-called “Five Dragons” to escape a corruption crackdown and establish themselves in Canada with their ill-gotten gains.

The ex-Royal Hong Kong police officers, their wives, concubines and children have invested tens of millions of dollars in businesses and real estate in Canada, mostly in B.C. and Ontario, according to the secret Canadian police study.

The study also found that four of them, whose average salary was about HK$30,000 a year each, had built a two-tower, 600-room hotel in Toronto valued at more than $20 million.
The richest eleven of the 44 fugitive cops were estimated to have a combined asset base both directly and indirectly of some C$80 million.

"It is not exactly understood how much influence or power these former police officials possess regarding Chinese criminal activities in North America but, because of past ties, former influence, possible triad connections and money illegally obtained, they definitely could influence Chinese criminal patterns as we know them today," the study said.

Brian McAdam, a former immigration-control officer in Hong Kong, said he managed to stop at least six ex-cops suspected of being affiliated with triads from entering Canada in the '80s.

"But many more got through with their connections or by pumping money into investor immigration schemes," he told The Asian Pacific Post in an interview on this subject two years ago.

"Some of these guys had close connections in high places and we were not seeing all the paperwork."

The exodus of Hong Kong cops to Canada can be tracked back to the mid-'70s when the newly formed agency called Independent Commission Against Corruption (ICAC) began enforcing prevention-of-bribery laws.

In the ensuing investigations, ICAC brought 260 police officers to court after finding 18 criminal syndicates operating in the police force.

The criminal element in the Hong Kong police force at that time was led by five station sergeants known as the Five Dragons. One of the Dragons was Hon.

The Five Dragons, all of whom eventually ended up in Canada, had geographical control of police jurisdictions in Hong Kong and collected graft while allowing the triads to conduct their criminal activities.

In the mid-seventies as the corruption crackdown in Hong Kong intensified, Hon, despite his criminal connections, became a landed immigrant in Vancouver.

British Columbia court records show that Hon was arrested by the RCMP on June 22, 1976 at his house on 515 West 54 Ave in Vancouver on an extradition warrant issued by the Hong Kong ICAC.

At that time he was said to have in his control HK$2,343,624 (C$468,000), a sum disproportionate to his salary as a Detective Staff Seargent of the Royal Hong Kong Police Department.

The next day, Hon appeared in a Vancouver provincial court where Canadian Justice Department lawyer P.W. Halprin said Hon is a landed immigrant who arrived in Vancouver several months ago. He said police seized about C$6,000 from him when he was arrested. After spending five days in jail, Hon was released on bail after four people put up C$250,000 in property for the bail.

The bail was raised by family and friends of Hon and covered the titles of six houses.

The bail was raised by his:
i) Concubine - Kan Suk Ying (515 West 54 Ave Vancouver and later of 2008 West 51st Ave Vancouver). She raised C$120,000.
ii) Son - David Hon Kam Hung (Date of Birth 2 Sept 1950/B.C.Driving Licence 2788025) and his wife Alice Hon Yoke Leng (DOB 14 Aug 1949/BCDL 2116473). They raised C$48,500.
iii) Fei-Fung Lui, a UBC student who listed her address as 4135 Salish Drive, Vancouver. She raised C$81,500.

The judge also ordered Hon's three passports British, Taiwan and Chinese - to be held. On March 2, 1977, after several legal delays an extradition hearing began.

Hon's lawyer, H.A.D. Oliver, who later went on to become a judge and a conflict-of-interest commissioner, applied for the case to be thrown out on a technicality involving the law.

Three months later, a Federal Court judge agreed with Hon's lawyer and ordered the extradition hearing stopped. Hon is released, bail is discontinued and his three passports returned. The government of Canada appealed this ruling to the Federal Court of Appeals Canada.

On January 24, 1978, the Federal Court of Appeals overturned the ruling and ordered Hon's re-arrest and the resumption of extradition hearings but by that time Hon had left Canada for Taiwan.

Hon died at the age of 76 in August 1999 in Taipei. The following year the Justice Department of Hong Kong began its court challenge to go after Hon's estate.

In an analytical report done by the RCMP liaison office in Hong Kong around the time the corrupt cops were fleeing, it was estimated "that 35 per cent of all Chinese policemen were triad members."

Police officers and lawyers familiar with proceeds of crime investigations said the money brought in by the corrupt Hong Kong cops is likely to have been legitimized through a variety of means and that there is very little the authorities can do now, unless the same players are actively involved in criminal enterprises.

The conclusion to Hon's case marks the end of a string of police corruption cases in Hong Kong dating from the 1970s, Chinese media reported.

One of those cases involved retired detective sergeant Lui Lok, who also invested his fortune in Vancouver. Civil proceedings began in 1978 and an out-of-court settlement was reached with his family in 1986.

Civil proceedings were also launched by the Hong Kong government against the other fugitive cops and assets recovered, but the repossession of Hon's assets was far and away the largest of the lot, Chinese news media said.

Former ICAC deputy director of operations Alex Tsui Ka-kit, one of the investigators in Hon's case, described the settlement as "sensible and reasonable".

In a telephone interview with the South China Morning Post, Tsui said: "The man [Hon] is no longer here. But the case has dragged on and on for so many years, with so much time and effort having been put into it.It is about time it came to an end. The settlement is also a relief for the members of his family, who have been under a lot of pressure."