The Independent Commission Against Corruption today jointly charged former Secretary for Development Mak Chai-kwong and Highways Department Assistant Director Tsang King-man over an alleged $700,000 housing fraud.

Between June 8, 1985 and December 31, 1990, Mr Mak, 62, and Mr Tsang, 57, are alleged to have defrauded the government of private tenancy allowances totalling $445,000 and  $260,000 respectively, by falsely representing that they did not have a financial or proprietary interest in the flat they leased, and that the lease in relation to each of them was a genuine lease with an unrelated third party.

They are also alleged to have concealed and not disclosed that they each had a financial or proprietary interest in the flat they leased and that the lease was with the wife of the other.

They have been released on bail, but will appear in Eastern Magistracy tomorrow pending a transfer to District Court.