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Democrat's move to censure KCRC bosses fails

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Ambrose Leung

A Democrat's motion to condemn the KCRC for not punishing its three top officials was voted down by lawmakers yesterday.

Members from the Breakfast Group of independents, the Liberal Party and the Democratic Alliance for the Betterment of Hong Kong said the rail operator had done a 'good job' in righting the wrongs in the Siemens scandal.

They supported a milder motion that called for the Kowloon-Canton Railway Corporation to implement improvements as suggested by an independent auditor, which investigated the incident. Legislators had earlier called for harsher penalties for the three top KCRC officials for their part in the scandal.

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The controversy erupted after it was revealed the corporation made an extra $100 million payment to telecommunications contractor Siemens, despite Siemens not meeting its work schedule on the West Rail project.

A report last week by the external auditor drafted in to investigate the payout criticised the KCRC management for not alerting the managing board sooner, and put the blame on the management's method of reporting problems.

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KCRC chief executive Yeung Kai-yin, who was also board chairman during the period in question, has apologised over the matter. Senior director of capital projects James Blake and Ian Thoms, director of West Rail, apologised for 'errors of judgment'.

A special subcommittee meeting of the Legco transport panel yesterday decided not to form a select committee to investigate the scandal. It urged the KCRC to make progress reports on improvements in management.

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