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Hong Kong courts
Hong KongLaw and Crime

Hong Kong court orders scandal-hit Christian Zheng Sheng Association to be liquidated

Judge rules in government’s favour after charity failed to repay HK$61 million to public fund in the wake of a fraud scandal in 2024

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The former premises of Christian Zheng Sheng College on Lantau Island. Photo: K. Y. Cheng
Brian Wong
A Hong Kong court has ordered the liquidation of a scandal-plagued Christian charity for failing to repay HK$61 million (US$7.8 million) granted by the government to renovate a defunct boarding school for drug addicts.
In a written judgment on Monday, the High Court granted the Department of Justice’s petition to wind up the Christian Zheng Sheng Association over the debts arising from a material change in board leadership after a high-profile fraud case came to light in 2024.

The association is known for previously operating Christian Zheng Sheng College at Ha Keng on Lantau Island to help teenagers struggling with drug addiction or on probation orders.

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Established in 1985, the college for recovering drug addicts ceased operations in July 2024 after police arrested four directors and froze the non-profit association’s assets over the alleged misappropriation of HK$50 million in donations.

Three other wanted directors – principal Alman Chan Siu-cheuk, founder Lam Hay-sing and Chan Yau-chi – have fled the city.

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The association replaced all of its directors after the police operation, violating a clause in a 2017 funding agreement for the college’s renovation that required the charity’s leadership to remain unchanged from the time it received financial help from the Beat Drugs Fund Association, a non-profit company governed by the Security Bureau.

The fund demanded that the charity repay HK$59.25 million in public money, which amounted to HK$61.4 million including interest, but the NGO ignored repeated requests.

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