Exclusive | Stringent background checks on investors such as Dubai’s Sheikh Ali Al Maktoum could send wrong message about Hong Kong, sources say
- Heavy scrutiny of Dubai prince launching US$500 million family office in city could have ‘potentially offended’ other overseas investors, three senior officials say
- But source admits only cursory checks done on individuals attending official functions and improvements can be made
A stringent background check by the Hong Kong government on a Dubai prince launching a US$500 million family office in the city could have “potentially offended” other overseas investors and undermined the financial hub’s reputation for welcoming business opportunities, three senior officials involved in the matter have told the Post.
The officials stressed on Friday the government welcomed potential investment from Sheikh Ali Rashed Ali Saeed Al Maktoum and other Middle Eastern businesspeople, while also acknowledging the need for the administration to be “more sensitive and prudent” in avoiding any unnecessary controversies.
“Due diligence needs to be proportionate. If the background checks were overly stringent, this could offend [Maktoum] and other potential investors,” one government insider told the Post.
“We need a better balancing act between maintaining the city’s image that ‘Hong Kong opens its door widely to all business opportunities’ and preventing anyone from exploiting controversies to tarnish the government’s reputation.”
