Two former Mitsubishi Corporation (Hong Kong) employees and a merchant have been jailed for swindling $6.5 million in commissions and transportation charges from the company.

Former Mitsubishi HK deputy general manager Harry Cheung, 41, and merchant Dennis Cheung, 40, were each sentenced to four years' prison at the District Court today. Choi Pui-chung, 43, another former Mitsubishi HK deputy general manager, was given three years.

Judge Gill said the offences constituted a serious breach of trust and the fraud was premeditated. The defendants were found guilty of two counts of conspiracy to defraud, and one of conspiracy for an agent to use documents with intent to deceive his principal. They were arrested in an Independent Commission Against Corruption inquiry in July last year.

One of the charges said the Cheungs conspired with others to defraud Mitsubishi by dishonestly causing the company to pay $1,951,985.59 pursuant to commission agreements allegedly made based on false representations.

The Cheungs further faced one count of conspiring with others for Harry Cheung to use the alleged false commission agreements with intent to deceive Mitsubishi.

All three were convicted on a joint charge of conspiring with others to defraud Mitsubishi by dishonestly causing the company to pay inflated transportation charges totalling $4,565,693.05.

The offences occurred between January 1997 and July last year.