According to court filings, former Hongfu Garden owners’ corporation committee member Jiang Xiangfa and his wife Zhang Ruolan appeared at the Sha Tin Magistrates’ Courts on Tuesday, October 1, facing two charges of fraud and one count of money laundering involving approximately HK$33万 in SME Financing Guarantee Scheme loans. Acting Chief Magistrate Zheng Ji Hang adjourned the case to October 6 pending transfer documents to the District Court, while both defendants were granted cash bail of HK$10,000.
Fraud and Money Laundering Charges Against Jiang Xiangfa and Zhang Ruolan
The prosecution alleges that Jiang Xiangfa, 65, and Zhang Ruolan, 62, both described as directors of Art Shing Interior Design Engineering Co., Ltd., committed fraud between February and June 2022. Court documents state the couple submitted false information regarding a drop in sales and turnover to The Hongkong and Shanghai Banking Corporation Limited (HSBC) to support applications for Special Guarantee Loans. According to the charges, these misrepresentations induced HSBC and HKMC Insurance Limited to approve two separate loan disbursements totaling HK$231,300 and HK$100,000, respectively, while exposing the institutions to potential financial prejudice.
In addition to the fraud counts, the pair faces a money laundering charge under court case number STCC3198/2026. The charge alleges that between April 4 and July 25, 2022, they handled HK$331,300 in an HSBC account knowing or having reasonable grounds to believe the funds represented the proceeds of an indictable offense. Both defendants were initially arrested on May 14 and later released on police bail after being detained overnight at the Tsuen Wan Police Station.
Court Appearance and Strict Bail Conditions Set for October 6 Hearing
Represented by defense lawyer Wen Hao Zheng, the defendants entered no pleas during Tuesday’s brief morning hearing in Sha Tin. Acting Chief Magistrate Zheng Ji Hang approved the prosecution’s application to adjourn the matter until October 6 to prepare transfer papers for the District Court. Outside the courthouse, when asked about his state of mind by reporters, Jiang replied that things were just “so-so.”
The court imposed several strict conditions on the defendants’ HK$10,000 cash bail. According to the court order, Jiang and Zhang must remain in Hong Kong, reside at their reported address, report to the Yuen Long Police Station once a week, and refrain from contacting any prosecution witnesses. The brief court appearance concluded after a few minutes, with the defendants leaving the premises shortly after 9 a.m.
Frequently Asked Questions
What specific charges do Jiang Xiangfa and Zhang Ruolan face?
According to court documents from the Sha Tin Magistrates’ Courts, the couple faces two counts of fraud and one count of dealing with property known or believed to represent proceeds of an indictable offense, commonly referred to as money laundering.
What are the terms of the defendants’ bail?
The court granted each defendant HK$10,000 cash bail, with conditions requiring them to stay in Hong Kong, live at their reported address, report weekly to the Yuen Long Police Station, and avoid contact with prosecution witnesses.
When is the next scheduled court date for this case?
Acting Chief Magistrate Zheng Ji Hang adjourned the case to October 6 to allow time for the preparation of documents required to transfer the proceedings to the District Court.
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