Following is a question by the Hon Jody Kwok and a written reply by the Secretary for Development, Ms Bernadette Linn, in the Legislative Council today (February 25):
 
Question:
 
     Bid-rigging in building maintenance has been a long-standing problem. Studies show that bid-rigging costs Hong Kong society between $4 billion and $25 billion every year. Therefore, there are views that it is crucial to strengthen and improve the supervision of building management and maintenance, as well as enhance market competition, regulation and transparency. In this connection, will the Government inform this Council:
 
(1) whether it has compiled statistics on the total number of reports and complaints received by the Independent Commission Against Corruption, the Hong Kong Police Force (HKPF) and the Competition Commission about suspected bid-rigging in residential building maintenance works in each of the past five years, and among these, the number of cases found to be substantiated, and the number of cases in respect of which prosecutions were instituted (together with the amount involved in the works of each of such cases) (set out in a table);
 
(2) as it is learnt that at present many owners are unable to attend owners' meetings in person for certain reasons, whether the Government will, by drawing on the experience of regions such as Singapore, explore establishing an official electronic voting platform in "iAM Smart" and introducing online owners' meetings requiring real-name attendance, so that owners will be allowed to choose their preferred means of participating in meetings and cast their own votes electronically, so as to facilitate better participation by owners in building management matters and decision-making;
 
(3) given that bid-rigging is a criminal offence in many countries and regions, whereas currently in Hong Kong bid-rigging, being merely civil in nature, is regulated under the Competition Ordinance (Cap. 619), with violating individuals or enterprises facing fines only, whether the authorities will consider drawing on the experience of other countries and regions to criminalize bid-rigging and increase the penalties to enhance deterrence; if so, of the details; if not, the reasons for that; and
 
(4) of the detailed division of responsibilities among and respective duties of departments such as the Home Affairs Department, the Buildings Department, the Electrical and Mechanical Services Department, the Hong Kong Fire Services Department and the HKPF in combating bid-rigging; how the Government will strengthen the regulatory roles of various departments in the maintenance of residential buildings in order to eradicate bid-rigging?
 
Reply:

President,

     Combating bid-rigging in building maintenance requires joint efforts and a multifaceted approach across various Government departments and agencies on the fronts of policy and enforcement, including various areas like preventing anti-competitive and corrupt conduct, building management, operation of owners' corporations (OCs), and procurement and regulation of works. They involve the purviews of the Competition Commission (CC), the Independent Commission Against Corruption (ICAC), the Hong Kong Police Force (HKPF), the Home Affairs Department (HAD), the Buildings Department (BD), the Urban Renewal Authority (URA), and other relevant law enforcement agencies, as well as their respective policy bureaux.
      
     Having consulted the Commerce and Economic Development Bureau (CEDB), the Home and Youth Affairs Bureau (HYAB), the Security Bureau, the CC, the ICAC, and the URA, our reply to the various parts of the question is as follows:
 
(1) In the past five years, the number of corruption complaints received by the ICAC involving suspected bid-rigging in building maintenance works (Note) is tabulated below. Over the past five years, the ICAC mounted multiple large-scale enforcement operations in respect of corruption cases involving building maintenance works, and arrested a total of 138 persons. Details of these major operations are provided in the Annex. 
 

Year	Corruption complaints involving bid-rigging in building maintenance works
2021	11
2022	6
2023	20
2024	12
2025	24
Total	73

Note: Most of these building maintenance works involve residential buildings, and a small number of commercial and industrial buildings.

     The HKPF and the CC do not compile breakdown statistics of complaints and relevant cases involving suspected bid-rigging in building maintenance works.
 
(2) The HYAB has been encouraging owners to actively participate in building management matters, including attending owners' meetings in person. At the same time, the HYAB also welcomes the appropriate use of technology in building management work, such as electronic keeping of records. As for allowing non-physical attendance at owners' meetings and conducting electronic voting, the HYAB is also mindful of technical considerations and operational costs, as well as the capabilities of owners from different backgrounds. The HYAB maintains an open attitude towards the relevant proposals and will further study their feasibility, in light of technological developments and their prevalence.
 
(3) The Competition Ordinance (Cap. 619) came into effect in December 2015, providing a legal framework to combat anti-competitive conducts across various sectors and promote fair competition among enterprises. According to the First Conduct Rule of the Competition Ordinance, collusive conducts such as bid-rigging are considered serious anti-competitive conducts prohibited under the Competition Ordinance. These provisions apply to all sectors, including building maintenance.
 
     The CEDB understands that there have been voices in society suggesting to criminalise anti-competitive conduct such as bid-rigging. The CEDB will review the competition regime from different perspectives, including legislative and other aspects, taking into account the implementation of the Competition Ordinance so far and the experience of other jurisdictions, with a view to strengthening deterrence against bid-rigging.
 
(4) The Government is determined to combat bid-rigging in building maintenance, and the concerned departments will follow up on multiple fronts.
 
     Regarding building management, operation of OCs and works procurement, as part of the efforts to deepen reforms on building management, the HYAB has commenced the next-phase review of the Building Management Ordinance (Cap. 344), and has identified five preliminary amendment directions. It includes further enhancing the mechanism of declaration of interests, with a proposal to require works consultants to declare their relationships with the contractors, thereby enhancing transparency of the procurement process.
      
     Moreover, the Development Bureau (DEVB) is working with the URA to formulate measures for the launch of enhanced "Smart Tender" services in the second half of this year. This includes establishing more rigorous "pre-qualified lists" of consultants and contractors. In addition to considering criminal and disciplinary records alongside past performance, consultants and contractors must pass background checks by the HKPF and the ICAC before they can be included in the lists and are eligible to participate in the tender. Furthermore, the URA will oversee the tendering and bid evaluation processes for owners to engage consultants and contractors. For buildings applying for Government maintenance subsidies, after commencement of works, the URA will require consultants and contractors to report to the URA at critical project junctures, such as significant amendments to the scope of works or increases in project costs, so that the URA may offer independent advice to owners.
      
     In terms of regulation of works, the DEVB and the BD will broaden the scope of amendments to the Buildings Ordinance (Cap. 123), upgrading major building maintenance works from mostly Class II minor works at present to Class I minor works, with third-party professionals to formulate works arrangements and supervision. Furthermore, the registration and disciplinary systems for registered building professionals and contractors will be further strengthened. For instance, contravention of the Prevention of Bribery Ordinance (Cap. 201) will be a ground for disciplinary action and a factor for consideration in registration renewal. The proposed legislative amendments will be tabled at the Legislative Council for scrutiny in the second half of this year.
      
     On law enforcement, the ICAC and the CC have been paying close attention to corruption or bid-rigging in building maintenance works and actively investigate related cases. Details of the enforcement actions taken by the ICAC in response to such situations are set out in our reply to part (1) of the question. Since 2024, the CC has conducted five search operations involving building maintenance projects across multiple districts in Hong Kong, and the relevant cases are under investigation. Cases involving bid-rigging not only violate the Competition Ordinance, but may also involve elements in breach of other laws. Therefore, law enforcement agencies, including the HKPF and the ICAC, as well as the CC have been closely collaborating to effectively combat these illegal activities.
      
     Regarding inter-departmental collaboration and public education, the HKPF have rolled out the RenoSafe Scheme since 2013 and maintained close liaison with relevant Government departments and stakeholders to exchange information on trends and intelligence of building maintenance-related crimes. With a view to preventing and combating unlawful infiltration into building maintenance projects and relevant tendering processes, the HKPF have conducted risk assessments and provided operational support for buildings or estates that are planning for or currently undergoing maintenance works. As at end-2025, 3 036 estates have registered for the scheme while the HKPF have organised 146 crime prevention seminars for building owners to share common modus operandi as well as means to seek assistance related to building maintenance works and tendering.
      
     To strengthen support for owners and OCs in handling building management and large-scale maintenance projects, etc, the HAD has set up the Central Platform on Building Management. Monthly briefings are organised, and relevant Government departments and organisations are invited to introduce various services and schemes on building management and maintenance, including the BD, the Fire Services Department, the Electrical and Mechanical Services Department, the Labour Department, the HKPF, the ICAC, the URA, and the CC. Through attending these one-stop briefings, owners and OCs can learn more about details of the relevant services and schemes. In addition, District Offices also organise talks and workshops, etc, inviting relevant departments and organisations to introduce information on building management and maintenance to owners and OCs in the districts.
      
     Furthermore, the ICAC will, where appropriate, take early intervention actions to alert owners about the risks of corruption and bid-rigging in contract awarding, so as to nip in the bud potential corruption, bid-rigging and related unlawful activities. The CC has also been actively taking forward publicity and public education programmes to raise awareness of the issue of bid-rigging and assist procurement personnel, including OCs, in strengthening preventive measures.

Ends/Wednesday, February 25, 2026
Issued at HKT 18:05

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