Hong Kong police have proposed introducing legislation enforced by a designated agency to criminalise bid-rigging, along with more attractive leniency and cooperation agreements for whistle-blowers, in the wake of the city’s deadliest fire in decades.
In a submission to a judge-led independent committee investigating last November’s disaster at Wang Fuk Court released on Friday, Superintendent Lam Kai-chor of the organised crime and triad bureau said the current civil regime of the Competition Ordinance lacked a deterrent effect.
“There is a prospect that the sanctions imposed may not be able to outweigh the potential gains from prohibited conducts,” Lam said.
“To combat bid-rigging and to address the challenges under the existing framework, a bespoke criminal legislation enforced by [a] designated agency is proposed.”
Under the existing regime, individuals involved in serious anti-competitive acts are only penalised with fines.
To address the enforcement challenge brought by the secrecy and underground nature of bid-rigging, Lam suggested strengthening the attractiveness of “leniency” or “cooperation agreements” to encourage whistle-blowers or accomplices to come forward.
