Sweet, it took a while but I'm happy to see this judgement. I think there still gotta be some more bought licenses out there based on observing Richmond roads
Man sued over driver-test bribes
Wednesday, March 28, 2007
A Richmond man will likely lose his house to ICBC after the B.C. Supreme Court ruled he paid for it with the proceeds of a million-dollar licences-for-cash bribery scam.
Foon-Wai (David) Chiu, who operated Dragon Driving School in Richmond, was sued by ICBC in 2004 for allegedly bribing Crispine Diaz, a driving examiner, to pass students who failed their driving tests or never even took them.
Diaz was also sued and both are facing criminal charges in connection with the fraud.
Under the scheme, Chiu charged his clients between $2,000 and $8,000 for his services, then allegedly paid Diaz $500 for each time she gave a "pass" to one of them.
More than 150 people are believed to have received licences as a result of the scam.
In 2005, a jury awarded ICBC a total of $2.3 million in damages against Chiu, Diaz and the driving school.
But Justice Harvey Groberman ruled that, in seeking payment, ICBC could not go after assets owned by Chiu's wife, Fung Kwan (Tammy) Lo, including her share of the couple's house and her Mercedes.
ICBC appealed that decision to the B.C. Court of Appeal, which ruled in December that ICBC could go after Lo's assets -- ordering Groberman to reconsider the case. In a decision released Tuesday, Groberman found that when Chiu and Lo bought their Richmond home in 2003 for $468,000, likely all of their $172,000 down payment came from fraudulent sources.
Over all, Groberman estimated Chiu earned about $1,075,000 from his scam, of which he paid about $175,000 to Diaz, leaving him with a $900,000 profit.
Frank Potts, a lawyer retained by ICBC, said the agency will return to court to seek an order for the house to be sold so it can get its share of the sale.
© The Vancouver Sun 2007