Jimmy Lai’s Case: Sentence Reductions for Accomplice witnesses

The sentencing of the Jimmy Lai case took place today (Feb 9). Among the defendants, the accomplice witnesses Cheung Kim Hung, Chan Pui-man, Yeung Ching-kee , Wayland Chan, and Li Yu-hin received sentence reductions ranging from 7 years and 9 months to 8 years and 9 months, resulting in final sentences of 6 years and 9 months to 7 years and 3 months. In contrast, Law Wai Kwong, Lam Man-chung, and Fung Wai-kwong only received the customary one-third reduction for pleading guilty and were sentenced to 10 years in prison.

The sentencing starting point for this group, who were convicted of colluding with foreign forces under the National Security Law, was 15 years. Looking first at the reasons for sentence reductions for the five former Apple Daily executives who testified in court, the court considered all five to be honest witnesses. Their testimonies played a crucial role in convicting Jimmy Lai and the corporate defendants. The court accepted that Article 33(3) of the National Security Law applied to each of them, allowing for leniency or reduced punishment and sentences lower than the starting point. (Article 33 of the National Security Law clearly stipulates three circumstances for sentence reduction: voluntary abandonment of the crime, voluntary surrender, and providing important clues for solving the case or exposing the crimes of others.)

Among them, Wayland Chan received a larger reduction. The court believed that without his testimony, the prosecution would have been unable to obtain crucial evidence regarding the Taiwan meeting and lacked sufficient evidence to link Jimmy Lai with figures such as "Lamchaoba (Fin Lau)." The judge also noted that Wayland Chan was born and educated in the UK and might have concerns about his safety upon returning there, especially since some co-conspirators remain at large. Based on all mitigating factors, he received a total reduction of 8 years and 9 months.

Furthermore, former Next Media CEO Cheung Kim Hung informed the court that he made a one-time donation of approximately HK$5 million to the Apple Daily Charity Foundation in 2020. Subsequently, he regularly and voluntarily participated in assisting the foundation and other charitable organizations, making additional donations totaling around HK$1.8 to 1.9 million. The court viewed these actions as demonstrating his positive good character. Based on his timely guilty plea, assistance to the prosecution, and positive good character, he received a total sentence reduction of 8 years and 3 months.

As for Deputy Publisher Chan Pui-man, who served as a director of the Apple Daily Charity Foundation and continued to assist with its affairs while working at Apple Daily, the court also recognized this as demonstrating her positive character. However, it noted that her contributions to charitable organizations were not as significant or sustained as Cheung’s. Considering her timely guilty plea, assistance in prosecution, and positive good character, she received a total reduction of 8 years.

Regarding Li Yu-hin, the court pointed out that he fully cooperated with law enforcement agencies after returning to Hong Kong from the mainland on March 22, 2021, even earlier than Wayland Chan’s initial offer to assist the prosecution. Li testified for 15 days in total. As an insider, he provided detailed and crucial evidence regarding the operations and activities of the "Resistance" and the "International Parliamentary Alliance." The court stated that based on his timely guilty plea and assistance to the prosecution, he received a sentence reduction of 7 years and 9 months. The court specifically noted that when determining the reduction, it had taken into account Li’s detention period in the mainland, but after careful consideration, it tended not to grant any further reduction on that basis.

The sentencing remarks also disclosed the family circumstances of editor-in-chief Yeung Ching-kee. After his arrest in June 2021, his wife suffered a sudden cerebral hemorrhage in August 2022, resulting in permanent disability. Yeung's son, at the start of his career, was forced to resign and become his mother's full-time caregiver as the only remaining family member. The court stated that based purely on humanitarian considerations and following past precedents, an additional 3-month reduction was granted for Yeung’s family hardship, meaning Yeung received a total reduction of 7 years and 9 months.

As for Law Wai Kwong, Lam Man Chung, and Fung Wai Kwong, the court pointed out that they did not testify or assist the prosecution. They could only receive the customary one-third basic sentence reduction for a timely guilty plea. Therefore, each of their sentences was reduced from 15 years to 10 years, which is already the minimum penalty stipulated by law.

The judgment also mentioned that although Law voluntarily served as a director of the "Apple Daily Charity Fund," since this does not fall within the scope of Article 33, no additional discount could be given for this mitigating factor.

Observers noted that Cheung Kim Hung and the other four pleaded guilty and testified for the prosecution, while Fung Wai Kwong and the others only pleaded guilty without serving as accomplice witnesses. The difference is significant. In fact, the disparity in sentences is not merely reflected in the numbers in the judgment.

According to the amendments made by the Safeguarding National Security Ordinance to the Release of Prisoners on License Ordinance and its regulations, if a prisoner is serving a sentence for being convicted of an offense endangering national security, the Commissioner of Correctional Services shall not refer the prisoner's case to the Release of Prisoners on License Board for consideration unless the Commissioner is satisfied that the early release of the prisoner will not be prejudicial to national security.

The Safeguarding National Security Ordinance also amended the Prison Rules, stipulating that if a prisoner is serving a sentence for being convicted of an offense endangering national security, the prisoner shall not be granted remission of sentence under those rules unless the Commissioner of Correctional Services is satisfied that granting remission to the prisoner will not be prejudicial to national security.

In other words, after the Safeguarding National Security Ordinance took effect, it will be very difficult for Law Wai Kwong, Lam Man Chung, and Fung Wai Kwong to obtain early release. They are highly likely to serve the full 10-year sentence.

As for accomplice witnesses receiving further discretionary reductions after serving their sentences, there is precedent. In the “35+ Subversion Case,” Andrew Chiu Ka- Yin received a substantial sentence reduction for pleading guilty early, serving as an accomplice witness, and testifying against other defendants. Later, due to good behavior in prison and genuine remorse, after deducting statutory remission, he was released over two years early in October last year.

Following Andrew Chiu's precedent, if Cheung Kim Hung and others demonstrate good behavior and remorse in prison, they may be eligible for early release. In contrast, Law Wai Kwong, Lam Man Chung, and Fung Wai Kwong will find it very difficult to obtain early release. When everything is added up, they might end up serving around five more years in prison than the accomplice witnesses.

Ariel

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History was made in global finance this week. Boston Consulting Group (BCG) released its 2026 Global Wealth Report on Wednesday (27 May), revealing that Hong Kong's cross-border wealth management assets reached US$2.95 trillion — a 10.7% year-on-year surge. That figure edged past Switzerland's US$2.94 trillion by roughly US$10 billion, making Hong Kong the world's largest cross-border wealth management center for the first time.

The milestone triggered a global media storm. More than 600 overseas reports followed the release, with the Associated Press, the Financial Times, Bloomberg, Reuters, and Canada's National Post all turning their focus to this defining shift in the global wealth management landscape.

Hong Kong's lead over Switzerland is slim — but the growth gap is not. Bloomberg noted that Hong Kong overtook Switzerland by a narrow margin, driven by an influx of capital from the Chinese Mainland and a rebound in Hong Kong's local stock market. What matters far more, though, is trajectory: BCG projects that cross-border wealth managed in Hong Kong will grow at roughly 9% per year between 2025 and 2030, compared to only about 6% for Switzerland.

Bloomberg goes further. By 2030, the gap in assets under management between the two centers is forecast to widen to nearly US$600 billion. Today's slim lead is not a finish line — it is the opening lap of a far larger structural shift.

Two core drivers explain Hong Kong's rise. The Financial Times focused on the diversification appetite of wealthy investors from the Chinese Mainland. Post-pandemic, investors sought to spread assets across jurisdictions to hedge against geopolitical risk — and a surge of that capital flowed into Hong Kong, helping it topple Switzerland's long-standing status as the traditional safe haven.

Financial Times coverage of the report.

Reuters added the numbers: wealth from China and a boom in IPOs in 2025 drove Hong Kong's cross-border assets to US$2.95 trillion.

BCG report co-author Michael Kahlich cuts to the structural point. "What ultimately matters is client proximity," he said. His view: two hubs are now forming in global wealth management — Singapore and Hong Kong serving Asia, and Switzerland, the United Kingdom, and the United States serving the West. Hong Kong's rise, in other words, is not simply about beating Switzerland. It reflects a structural migration of the global wealth management center of gravity towards Asia — a shift BCG describes as "unlikely to be reversed."

This development has prompted deep soul-searching in Switzerland. The FT quoted a UBS banker based in Zurich who questioned whether Switzerland had done enough to actively defend its position in wealth management — or had simply been coasting on the strength of its stable environment. Reuters noted that while Switzerland's growth rate is slower, its client base is more diversified, spanning regions across the globe. That breadth could prove a resilience advantage, whereas Asia's hubs remain heavily reliant on growth from the Chinese market.

BCG acknowledges that Switzerland retains unique value in navigating geopolitical uncertainty — particularly in attracting safe-haven flows amid ongoing instability in the Middle East. Yet BCG's own projections expose a key tension: diversification may bring stability, but against the backdrop of Asian wealth growing at roughly 9% per year, Switzerland risks a continued relative decline if it does not actively adapt.

Across international media coverage, one competitive advantage of Hong Kong was repeatedly emphasized — its connectivity function under "One Country, Two Systems." The Associated Press highlighted how Hong Kong's close ties with the Mainland market have driven its wealth management business. Reuters likewise noted that Hong Kong "is cementing its role as China's gateway to global markets."

This is more than a geopolitical dividend — it reflects deliberate policy work. Hong Kong issued a family office policy statement in 2023, followed by tax incentives and the New Capital Investment Entrant Scheme. Financial Secretary Paul Chan Mo-po stated after the report's release that Hong Kong's free, open, transparent, and predictable economic policies — alongside a stable and secure investment environment — are attracting a growing number of ultra-high-net-worth individuals and family offices to set up in the city. By end-2025, more than 3,380 single-family offices were operating in Hong Kong, up more than 25% from two years prior.

A slim lead is a warning signal as much as a trophy. The Hong Kong Economic Journal editorial noted that while Hong Kong surpassing Switzerland is a testament to the advantages of "One Country, Two Systems," Singapore is closing the gap at an annual growth rate of 10.3%, and Switzerland still holds the resilience of a diversified client base. Whether Hong Kong can sustain its position depends on its ability to broaden its global client base while consolidating its role as China's gateway.

A century-old wealth management order is witnessing a profound "East rising, West declining" moment. Hong Kong's displacement of Switzerland with US$2.95 trillion in cross-border wealth management assets is not merely a triumph for one city — it is a reflection of a shifting tide in the direction of global capital flows.

Yet, the real contest is not today's margin; it is the gap in growth rates that will decide the winner over the coming decade. As BCG put it, the future of wealth management centers is not about who offers the best safe haven — it is about who can stay closest to clients. And Asia is rapidly becoming the place where those clients are.