Bid-rigging practices are back in the spotlight following a deadly blaze in Tai Po, but how widespread is the problem in Hong Kong's building maintenance sector and how do syndicates operate?
Since taking the helm of the owners’ corporation at her Hong Kong housing estate 12 years ago, 63-year-old Chan Wai-ling has received numerous reports of falling concrete, water leakage and other problems that should have been fixed during multimillion-dollar renovations a decade ago.
“Whenever there is a typhoon, water leaks into our homes and damages the walls … We cannot sleep as we have to look out for the leakage,” said Chan, referring to Grandway Garden, a subsidised housing estate in Tai Wai with 864 flats across three blocks, where owners paid HK$91 million (US$11.7 million) for renovations.
The estate recently hired a contractor for additional repairs costing each household at least HK$10,000, on top of the HK$70,000 to HK$110,000 per owner for major works conducted between 2013 and 2016.
“It’s as if the renovation never took place,” said Chan, chairwoman of the owners’ corporation management committee.
Residents sought a meeting for more project details, but the then-chairman failed to address corruption allegations and eventually resigned after at least 5 per cent of owners called for a re-election, Chan said.
The meeting, which under the law should have been held within 45 days, was delayed for months in 2013. Owners sought help from the Home Affairs Department but were told to resolve the dispute in court.
This case highlights potential bid-rigging and corruption in Hong Kong's building maintenance sector, thrust back into focus after the deadly Tai Po blaze.
