The Department of Justice said it will carefully review a ruling handed down by the Court of Appeal quashing a fraud conviction against Jimmy Lai, founder of the now-defunct Apple Daily, and decide whether to appeal.

The case revolves around a site in Tseung Kwan O that Apple Daily Printing had leased from the Hong Kong Science and Technology Park Corporation. Lai and his co-defendant Wong Wai-keung were alleged to have concealed use of the office space by Lai's private company and made a false representation.

Court of Appeal judges Jeremy Poon, Derek Pang and Anthea Pang said Apple Daily Printing had breached the leasing agreement. However, they ruled that it was not under a duty of disclosure.

Responding to the case, the government said Lai had exploited the SAR’s public resources for more than 20 years.

A spokesman said the Court of Appeal clearly pointed out that Lai's private company had occupied and used the office space since 1999 to conduct personal business for Lai and his family, thereby violating the lease conditions.

"Although the Court of Appeal considered that, in the factual context of this case, the breach in question did not reach the criminal conviction threshold for the offence of 'fraud', the objective fact remains that Lai Chee-ying has exploited public resources for private use," the spokesman said in a statement.

The statement also noted that Lai had been sentenced to 20 years in jail for three national security offences.

"Although the appeal in this fraud case has been allowed, it does not alter the fact or outcome that Lai Chee-ying has to serve 20 years' imprisonment for his offences endangering national security," the spokesman said.



Edited by Edmond Fong