Hong Kong police say a local church that supported last year’s protests is under investigation for suspected fraud and money laundering.
A police spokesperson said Tuesday evening that the church only declared a third of the money it had raised between June 2019 and September 2020, with HK$18 million (US$2.3 million) unaccounted for. Two people have been arrested in connection with the case, and police have issued arrest warrants for the church’s pastor and his wife who are in the UK.
The Good Neighborhood North District Church, which had its bank accounts frozen earlier this week, denied the accusation.
In a Facebook post Wednesday, the church said that it hires accountants to conduct yearly audits to ensure that the church complies with the government’s requirements for charities.
Police conducted searches at the church’s premises on Tuesday, including the church in Fanling, a gathering point at Kwun Tong and three homeless shelters it operates. As of early Wednesday afternoon, the two arrestees are still being held by police, the church wrote on Facebook.
Earlier on Tuesday, the church’s pastor Roy Chan posted a video accusing HSBC, which their accounts are under, of being “pro-Beijing” and freezing their funds as “political retaliation.”
“HSBC has become a tool for the regime’s attempt to take political revenge via economic oppression,” he said.
Chan added that his family is in the UK for vacation and explore plans to expand the church, but are unable to return due to an “unsafe Hong Kong.” He said his family is “living with an empty wallet.”
The Good Neighborhood church received attention last year supporting the city’s pro-democracy movement. The middle-aged and elderly volunteers from the church—commonly known as the “Protect the Kids” group—were often seen on the frontlines of the protests, acting as buffers between the young protestors and the police.
The church’s online petition calling on the bank to unfreeze the accounts gained over 22,000 signatures in less than two days.
