Penalties debated for proposed flat offences
The steering committee studying proposed laws to regulate the sale of new flats should have its draft report ready by the end of August.
Legislator Lee Wing-tat - one of the 13 members of the committee, which is expected to complete its work and submit a report to the housing minister on the proposed legislation by October - said members were still discussing issues related to penalties.
The group was set up to address a range of concerns about sales in new developments and the artificial inflation of apartment sizes.
Speaking after a meeting of the committee's enforcement mechanism and penalities subcommittee yesterday, Lee said members discussed whether the proposed laws should make reference to the Securities and Futures Ordinance, the Trade Descriptions Ordinance or other laws.
'The Securities and Futures Ordinance will have more severe penalities but it is far more complicated,' Lee said.
Under this ordinance, company directors may be criminally liable for a company's breach of the law. The maximum penalty is 10 years' jail or a fine of up to HK$10 million.
For the Trades Description Ordinance, the maximum penalty is five years' jail and a fine of HK$500,000.