How a Hong Kong millionaire's bribery case exposes China's corruption problem in Africa

Updated 0144 GMT (0944 HKT) February 10, 2018

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Story highlights

  • Former Hong Kong home secretary Chi Ping Patrick Ho allegedly offered African leaders $2.9 million in bribes
  • The deals were plotted from the corridors of the United Nations in New York
  • The case gives rare insight into Chinese corruption in Africa

(CNN)It sounds like a Hollywood movie. A respected Hong Kong financial magnate allegedly plans a clandestine meeting with the president of Chad in the middle of the dusty Sahara Desert, and offers him a $2 million gift to secure oil rights for a Chinese conglomerate.

In another scheme, Chi Ping Patrick Ho, according to United States prosecutors, sends the now foreign minister of Uganda, who was then the president of the UN General Assembly, a $500,000 bribe for business advantages, through the New York banking system.
All this was allegedly planned under the noses of the world's top diplomats in the corridors of the United Nations in New York, where Ho ran an energy NGO.
Chinese president Xi Jinping (right) shakes hands with the president of Chad, Idriss Deby, at the G20 Summit in Hangzhou, in 2016.
In November 2017, Ho and Cheikh Gadio -- the Senegalese failed presidential candidate and former foreign minister, who allegedly arranged the deals -- were arrested in New York on multiple bribery and money laundering charges. This week, the trial date was set for November 5, 2018. Aged 68 years old and in ailing health, Ho risks spending his remaining years behind bars. He has pleaded not guilty.
This case, however, is about more than one man's spectacular fall from grace. It offers a rare window into Chinese corruption in Africa -- something academics, politicians and business people have long suspected existed but found difficult to prove.
    What's more, with the mountain of evidence seemingly against the defendant, legal experts are wondering whether Ho might be asked to expose other corrupt parties to reduce his sentence.

    China's 'competitive advantage'

    Western companies in Africa have "long spoken of the competitive advantage Chinese companies have on the continent," says Andrew Spalding, a professor at the University of Richmond and expert in anti-corruption law. "And the dramatic increase in China's commercial presence tends to confirm it."
    China's goods trade alone with Africa totaled $188 billion in 2015, compared with $53 billion for the US. As China has become the continent's biggest economic partner, Chinese companies have found themselves operating in countries with high corruption ratings without domestic legislati