Corruption: Hong Kong toy manufacturer has prison term increased

Wong was convicted of offering about HKD10 million in bribes to two former directors of Mattel Asia Pacific Sourcing Limited (Mattel Asia) (formerly known as Arco Toys Limited), a subsidiary of Mattel Inc. , a US company, in order to secure production orders.

The deal was simple: in return for the orders, Wong's company would pay the two directors a percentage of the amount billed to Mattel.

The mechanism for payment was equally simple: Wong produced fictitious invoices for the amounts due under the arrangement and openly made payment out of his company's accounts.

The invoices were made out in the name of a sham business called Ko Wah and purported to be for the delivery of raw materials. Between 1998 and 2003, a total of over HKD15.6 million was withdrawn from the account of Fook Key by using the false Ko Wah invoices.

But Wong paid the cheques payable to Ko Wah into an account he controlled, withdrew the money and paid it to the two directors, or as they directed. Some HKD5 million was used by Wong for his own purposes.

Senior Assistant Director of Public Prosecutions Alex Lee asked the court to consider a review of sentence on the basis that the sentence was manifestly inadequate and wrong in principle, given the seriousness of the offence which was committed over a lengthy period, and the substantial amount of money involved.

The appeal court ruled that the starting point of five years be applied and that it should be reduced to four years, taking into account the defendant's old age.