False Permanent-Departure MPF Claim Fined $12,000; Two Employers Fined for Defaults

More MPF convictions in court. A scheme member who made a false MPF withdrawal permanent departure declaration to withdraw early was fined $12,000 at Kwun Tong Magistrates’ Courts; two employers that failed to enrol staff or defaulted on contributions were fined $69,000 and $1,000 respectively.

What are the rules for permanent-departure MPF withdrawal?

Once in a lifetime, with a statutory declaration and proof. The law lets members withdraw MPF early on “permanent departure from Hong Kong” grounds — but only once per lifetime. Claimants must provide overseas settlement details, evidence of permission to reside abroad permanently, and make a statutory declaration. Trustees notify the MPFA in writing so it can check whether the claimant has used this ground before.

What happens if you lie about leaving?

Fines — and the MPFA checks immigration records. The member applied to two trustees in February and March last year, falsely claiming he would be and had already permanently departed. Past cases show members who claimed departure then quickly re-enrolled in MPF get investigated — the MPFA examines immigration records and prosecutes where evidence shows they never permanently left.

What about employer defaults?

Hins Transport failed to enrol a worker and defaulted — fined $69,000. Hop Sing (Kam Yeung) Transport wrongly deducted MPF contributions when calculating a worker’s first-30-days’ income — fined $1,000. Under MPF law, defaulting employers face up to $350,000 in fines and three years’ imprisonment. Workers who spot defaults should complain to the MPFA immediately.

To compare charges and returns across MPF funds, visit MPF fund comparison.