• Magistrate says ICAC fails to prove that HK$150,000was paid to Gwee in relation to the handling of former Singfor boss' accountsat the bank
• Money was for purchase of rare wines, says defence
• Bank transfer hardly a clandestine corrupt payment

SINGAPORE - Media OutReach - 3 December 2018 - Amagistrate court in Hong Kong has acquitted former Standard Chartered Bank(SCB) private banking head Ryan Gwee Yuan Kerr of a bribery charge brought bythe Independent Commission Against Corruption (ICAC).

Magistrate Lam Tsz-kan of Hong Kong'sEastern Magistrates' Courts dismissed the ICAC charge on 9 October 2018 after ahearing.

Mr Gwee, who is now Co-founder and CEOof private equity firm Asia Capital Pioneers Group (ACPG), said: "It is a hugerelief to be cleared of this baseless charge. While I was always confident thatthe ICAC case would be dismissed, it was still no joy to have to defend myselfagainst a false and serious accusation, and to have to live with this terrible uncertaintyfor 10 months.

"Nevertheless, I am grateful toeveryone who stuck with me during this period, including my family, friends,colleagues, clients and business associates. I know who they are and willalways be there for them as they were for me."

Mr Gwee, who worked with StandardChartered Bank (SCB) in Singapore, Hong Kong and Shanghai for more than adecade, was Managing Director and Head of Private Banking for China before he leftin 2011 to set up an investment firm which has been reorganised to become ACPG,which provides consultancy to family offices on investments and philanthropy.

Seven years later, in January 2018,following the conviction of Teng Wen-Chung, former Chairman of Taiwaneseinsurance company Singfor Life Insurance Ltd, for embezzlement, the ICACcharged Mr Gwee for being an agent in accepting an advantage. Mr Gwee wasalleged to have accepted HK$150,000 in August 2011 in relation to the handlingof Teng's accounts and those of his companies' accounts at SCB.

During last month's court hearing, MrGwee's lawyer, Senior Counsel Peter Duncan submitted that his client had nocase to answer. He said the ICAC had failed to produce evidence to show thatthe HK$150,000 was paid to Mr Gwee in relation to the handling of Teng's and Singfor'saccounts with the bank, including securing approval for an increase to US$100million in credit to them.

Mr Duncan said the prosecution wasunable to provide a focused and consistent explanation for why the money waspaid. While Mr Gwee did not deny receiving the money, he maintained it was apayment for rare wines that he had bought on Teng's behalf.

Mr Duncan also noted that "bribes areinvariably paid in a clandestine manner. This was not the case here -- atransfer between banks which was easily traceable. It does not make sense thata seasoned banker such as Mr Gwee would have permitted such a traceable andcorrupt payment."

The ICAC, Mr Duncan argued, built itscase on certain perceived irregularities surrounding the opening of Teng's andrelated company accounts, and credit advanced to them.

However, Magistrate Lam agreed that MrGwee played no part in the opening of the accounts, which was assigned to therelationship management team. Moreover, the credit facilities to Teng and hiscompanies were approved by the bank's relevant committees and there was noevidence to show that Mr Gwee knew about the ownership of the collateral forthe loan, or that he was concealing any information from the bank.

The Magistrate also noted that thealleged HK$150,000 bribe was transferred nine months after the approval of thecredit facility to Teng and his companies. The bank transfer, he added, also militatedagainst the allegation of a bribe.