🔥 Trending Star Development Center Faces Allegations of Unfair Trade Practices; Director Ar

The Star Child Development Centre (星兒發展中心), located in Lai Chi Kok, Hong Kong, which provided applied behaviour analysis (ABA) therapy for children with special educational needs (SEN), abruptly ceased operations in July 2026 ²³⁸. This sudden closure left many parents who had prepaid for services without access to the promised courses and sparked an investigation by Hong Kong Customs ¹³.

Details of the Incident

Sudden Closure and Allegations

The centre announced its closure, claiming it had fallen victim to commercial fraud and was experiencing a cash flow collapse ²³⁷. However, parents reported that the centre continued to offer courses at discounted prices shortly before its closure ¹³⁵. The premises were found locked and empty, leaving parents unable to contact the centre or arrange for refunds or continuation of services ³⁷.

Customs Investigation and Arrest

Hong Kong Customs launched an investigation following numerous complaints from affected parents ¹⁸. On July 24, 2026, Customs arrested a 36-year-old local male director of the centre on suspicion of engaging in unfair trade practices, specifically "improper acceptance of payment," in violation of the Trade Descriptions Ordinance ¹⁵⁸. This charge relates to the centre allegedly selling courses at preferential rates shortly before its sudden closure, despite knowing it might not be able to provide the services ¹³⁵.

Financial Impact on Parents

As of July 24, 2026, Hong Kong Customs had received 21 complaints from parents, involving approximately HK$800,000 in prepaid, unused course fees ¹⁵⁶. Some reports indicate that the total amount of prepaid fees from around 70 parents could be as high as HK$1.4 million ²⁴⁹. Parents were left without notice regarding refunds or rescheduling of classes ⁴.

Broader Implications

This incident highlights the risks associated with prepaying for services, particularly in the education and therapy sectors. Authorities are investigating whether the centre's actions constituted unfair business practices, where services were sold with no reasonable prospect of being supplied ⁸. The case has drawn significant attention due to its impact on vulnerable children with special educational needs and their families ⁴⁹.