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Urban planning
Hong KongHong Kong Economy

Bid rigging revealed in renovation work for Hong Kong residential buildings

Survey conducted by Competition Commission ‘in response to public concerns over alleged collusive activities’ and could be used in future enforcement action

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The study found that more than 65 per cent of consultancy bids were below basic costs. Photo: AFP
Cannix Yau

The Competition Commission is starting to flex its muscles, confirming that bid rigging and manipulation has been plaguing Hong Kong’s residential renovation and maintenance market.

Unveiling its first city-wide study of the market on Tuesday, the commission said its findings were “consistent with the widely ­alleged bid-manipulation practices outlined ... having been present to an extent”.

But it clarified there was “no proof of such activities having ­actually taken place”, and that “our screening analyses are neither suited nor intended to conclusively prove contraventions”.

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The commission’s acting ­senior executive director, Rasul Butt, said: “The purpose of our screen analyses is to identify patterns that are suspicious in order to focus an investigation and ­decide where to look more closely for additional evidence.”

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The extensive findings concerning renovation and maintenance projects at 500 residential buildings would be used by the commission to help with its law enforcement work against bid-rigging, he said.

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