Franklin Lam in clear on ICAC flat sales probe, but he quits Exco
Councillor resigns despite insufficient evidence over allegation of misconduct surrounding the sale of two flats ahead of new stamp duties
Executive councillor Franklin Lam Fan-keung quit yesterday, even though the Department of Justice decided not to prosecute him over allegations of misconduct in public office and offering illicit advantages.
Lam stepped down after nine months' leave of absence prompted by criticism he made use of insider information to sell two flats ahead of new housing stamp duties. Chief Executive Leung Chun-ying accepted his resignation with regret.
He becomes the second Exco member to step down since Leung took office 13 months ago. Barry Cheung Chun-yuen quit in May after being investigated by police over his failed Hong Kong Mercantile Exchange.
Pan-democrats issued a complaint against Lam, a property analyst, to the Independent Commission against Corruption over the sale of two Mid-Levels flats a few weeks before the government imposed new stamp duties to cool the market in late October. The ICAC has completed its investigation and sought legal advice from the Department of Justice. Yesterday, Director of Public Prosecutions Kevin Zervos said Lam and his wife would not be prosecuted.
Zervos said he agreed with independent legal advice from senior counsel Peter Duncan that there was insufficient evidence to secure a prosecution for misconduct or offering extra commission to a property agent.
He also rejected suggestions it was a political decision.
"I am here because I want to assure you this case has been properly considered as any other case, being carefully evaluated with the evidence," he said.