Hong Kong’s Court of Appeal overturned the fraud convictions of media tycoon Jimmy Lai, a rare legal victory for the pro-democracy activist and vocal critic of Beijing. The ruling, delivered Thursday, does not secure Lai’s immediate release from prison, as he remains incarcerated following a separate conviction under the city’s national security law.
Lai, 78, founded the now-defunct Apple Daily newspaper and has been a persistent voice challenging the Chinese government’s increasing influence over Hong Kong. He was sentenced to five years and nine months in prison in 2022 after being found guilty of two fraud charges related to the employ of office space leased by his media company. The Court of Appeal found that while a breach of lease terms occurred, prosecutors failed to prove beyond a reasonable doubt that Lai and his co-defendant, Wong Wai-keung, knowingly made false representations.
Judges at the Court of Appeal stated in their judgment that Apple Daily Printing had indeed violated the lease agreement by allowing a consultancy firm to utilize part of the space, but that this did not create a legal obligation to disclose the breach. They further ruled that even if such a duty had existed, it could not be legally attributed to Lai and Wong. The trial judge’s reasoning, they said, “in concluding that the applicants were liable for the concealment as the prosecution contended is unsupportable.”
The overturned conviction could potentially reduce Lai’s overall prison sentence. Currently, his 20-year sentence stemming from a national security case is being served concurrently with the fraud sentence, with only two years of the 20-year term being actively served until the fraud sentence is completed. The Court of Appeal’s decision effectively nullifies the fraud sentence, potentially impacting the calculation of his total time in prison.
The Hong Kong government’s Department of Justice stated it would thoroughly review the judgment and consider whether to lodge an appeal. A government statement acknowledged the Court of Appeal’s finding regarding the breach of contract but emphasized that Lai had still used the office space for “illegitimate personal purposes.”
Lai’s lengthy sentence in the national security case – for conspiring to collude with foreign forces and publishing seditious articles – has drawn international condemnation and raised concerns about the erosion of press freedom in Hong Kong. The case has been viewed by many as a symbol of Beijing’s crackdown on dissent following the imposition of the national security law in 2020. U.K. Foreign Secretary Yvette Cooper has called for Lai’s release on humanitarian grounds, stating he was sentenced for exercising his right to freedom of expression.
Lai’s children have reportedly expressed hope that a planned visit by former U.S. President Donald Trump to Beijing, scheduled for March 31 through April 2, could provide an opportunity to advocate for their father’s release. Lai is a British citizen and his family is seeking international pressure for his freedom.
Chinese and Hong Kong authorities have defended Lai’s sentencing, asserting that it upholds the rule of law and that the national security law is essential for maintaining stability in the city. The authorities maintain that Lai’s case is not related to media independence.
