Social service institution linked to alleged MOP13 million subsidy fraud scheme

The Commission Against Corruption (CCAC) has uncovered an alleged public subsidy fraud scheme involving a social service institution, with the amount involved exceeding MOP13 million.

According to the CCAC, the person in charge of the institution allegedly used relatives and friends to establish multiple affiliated companies that repeatedly participated in procurement tenders for equipment, food supplies, and other projects subsidized by the Social Welfare Bureau (IAS).

The investigation found that the companies allegedly manipulated bidding procedures and inflated prices through bid-rigging, while the institution’s person in charge used his authority to influence tender results and obtain illicit benefits.

The CCAC said the individuals involved are suspected of committing high-value fraud under the Penal Code. The Criminal Investigation Court has ordered custody measures for the person in charge, while other suspects have been subject to additional compulsory measures.

The anti-corruption body has reported the case to the IAS for follow-up action and said further investigations are ongoing.

The CCAC warned that fraud involving public funds seriously harms the interests of Macau and will not be tolerated. It also urged residents and organizations to comply with the law and avoid exploiting public resources.

Meanwhile, the IAS issued a statement yesterday, pledging to strengthen oversight of social service institutions.

In a statement, the IAS said it was “highly concerned” about the case and had cooperated with law enforcement authorities during the preliminary investigation by providing the necessary information.

The bureau said it has long required subsidized social service institutions to maintain proper internal governance, financial management, and compliance with procurement rules, pledging that it will continue improving supervision mechanisms and strengthening integrity education and financial management training for institution managers and relevant personnel.

The bureau concluded that these measures aim to prevent violations, ensure public resources are properly used, and maintain public confidence in the city’s social service system.