Jimmy Lai Fraud Conviction Overturned, But Remains Jailed in Hong Kong

Hong Kong Court Overturns Fraud Conviction of Jimmy Lai, But Media Tycoon Remains Imprisoned

A Hong Kong appeals court has overturned the fraud conviction of pro-democracy media tycoon Jimmy Lai, relating to an alleged lease violation at the headquarters of his now-shuttered Apple Daily newspaper. The 78-year-old’s jail term stemming from that specific case has been quashed, however, Lai will remain behind bars, currently serving a 20-year sentence under a separate national security conviction.

The Court of Appeal granted Lai’s appeals against both the fraud conviction and sentencing on Thursday. High Court Chief Judge Jeremy Poon stated that the prosecution had failed to prove the offense and that the trial judge did not adequately consider “certain important matters” related to Lai’s state of mind.

Lai was originally jailed for five years and nine months in December 2022 after being found guilty of allowing a consultancy company, Dico, to use a portion of office space at Apple Daily for personal purposes, despite the premises being rented for printing, and publishing. During an October 2022 hearing, Judge Stanley Chan dismissed arguments that Lai’s operation was “trivial,” occupying only 0.16 percent of the premises, asserting that the tenant remained responsible for applying for subsidiary licenses regardless of the area occupied.

Co-defendant Wong Wai-keung, former administrative director of Apple Daily’s parent company Next Digital, was sentenced to 21 months in jail. Wong was appealing only his conviction, having already served his sentence. Both Lai and Wong did not appear in court on Thursday.

Former Next Digital executive Royston Chow, also a co-defendant in the case, testified as a prosecution witness in exchange for exoneration.

National Security Sentencing

Lai has been detained since December 2020. Earlier this month, he received a 20-year jail sentence for foreign collusion and sedition – the most severe sentence to date under the national security law imposed by Beijing in 2020 following the 2019 protests. Eighteen years of that sentence were added to Lai’s existing sentence for fraud, which, prior to Thursday’s ruling, he was expected to complete this June. If he serves his full sentence, he will likely be 96 years old upon release.