Financial Crime World

Macau’s Shady Past: A Comparative Look at the Ao Man-long and Ho Chio-meng Corruption Scandals

Amidst the glittering casinos and bustling streets of Macau, two major corruption scandals have cast a long shadow over the Special Administrative Region (SAR) since its return to Chinese sovereignty in 1999. The high-profile cases of former Secretary of Public Works and Transport Ao Man-long and Prosecutor-General Ho Chio-meng have rocked the city’s political landscape, shedding light on the complex issue of corruption and its lasting impacts.

Background

  • Since its retrocession from Portugal, the SAR’s administrative history has been punctuated by two major corruption cases.
  • Ao Man-long, a former senior government official, was arrested in December 2006 and sentenced in 2008 for taking bribes, money laundering, and abusing his power.
  • Ho Chio-meng, a former Prosecutor-General, was arrested in February 2016 and sentenced in July 2017 for fraud, money laundering, and abuse of power, among other charges.

Corruption in Macau: A Complex Phenomenon

Corruption is often seen as a multifaceted issue, with various definitions providing valuable context to its analysis.

Nathaniel Leff’s Definition

Nathaniel Leff’s definition of corruption as an “extra-legal institution” used to gain influence over the bureaucracy is particularly relevant in the context of Macau, as it highlights the complex web of political, social, and economic forces at play.

Samuel Huntington’s Exploration

Samuel Huntington’s exploration of the relationship between corruption and modernization reveals another important perspective. Macau’s situation is an intriguing example of a society where modernization contributed to corrupt acts through the expansion of government authority, the creation of new opportunities for power and wealth, and the lack of political institutionalization.

Uncovering the Truth: The Unearthing of the Scandals

Both the Ao Man-long and Ho Chio-meng scandals came to light in different ways.

Ao Man-long

  • The Ao case arose from a cross-border complaint, suspicions, and investigation rather than being exposed by political opposition or the mass media.

Ho Chio-meng

  • Whistleblowing appeared to play a crucial role in exposing Ho’s alleged malfeasance.

The Institutionalized Nature of the Corruption

The patterns of power and corruption in Macau were further illustrated by the Ao and Ho cases.

Administrative Discretion

  • Administrative discretion was a hallmark of both scandals, with senior officials wielding significant power without proper checks and balances in place.

Drawing Lessons and Recommendations

To prevent similar scandals from occurring in the future, remedial measures are essential.

Internal Auditing

  • More frequent and rigorous internal auditing could help plug administrative and institutional loopholes.

Land and Procurement Systems

  • The SAR could improve its system of granting land and the procurement of public projects, as well as establish more transparency in the tender process.

The Ao and Ho scandals are just the tip of the iceberg when it comes to corruption in Macau. However, a deeper understanding of the dynamics at play and the application of effective remedial measures can help the SAR move towards a more accountable and transparent political landscape. Only then can the city truly address the systemic issues fueling corruption and thrive as a modern, vibrant, and ethical society.