Authorities in Hong Kong have arrested 42 people over suspected infiltration of criminal organizations into residential building maintenance projects.
The operation, carried out on March 26 and 27, followed an investigation launched after complaints from citizens since mid-2025. According to the Independent Commission Against Corruption, a consultancy firm is suspected of facilitating contract awards through bribery.
Investigators found that the firm secured consultancy contracts with “unreasonably low fees”, then allegedly used intermediaries linked to Chinese mafia groups—known as triads—to manipulate tender processes through corrupt practices.
One case involves a major renovation project in the New Territories, valued at over HK$160 million (€17.7 million). The consultancy reportedly won the contract at a price far below market value—around 0.5% of the total project cost. Authorities believe early intervention prevented the corruption scheme from fully materializing.
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Another case dates back to 2022, when the same consultancy secured a contract for a separate renovation project later awarded for HK$20 million (€2.22 million), with several million classified as questionable expenses.
Among those detained are 10 men, including the consultancy owner, a registered inspector, and intermediaries with alleged triad links. An additional 32 individuals were arrested in parallel raids.
The crackdown comes amid heightened scrutiny following the deadly Wang Fuk Court fire, which killed 168 people.
In connection with that incident, police arrested 22 individuals on suspicion of manslaughter and six others for fraud. The ICAC also detained 23 additional suspects, including consultants, contractors, and members of the building’s owners’ association, over allegations of negligence, corruption, and the use of non-fire-resistant materials.
The tragedy has intensified concerns over opaque tendering processes, inflated costs, and safety risks in Hong Kong’s building maintenance sector.
