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HK Lawmakers Discuss Alleged Government Collusion With PCCW

by Mary Swire, for LawAndTax-News.com, Hong Kong

03 February 2005

Following allegations that the Hong Kong authorities colluded with the Pacific Century Group (now PCCW) by offering the HK$13 billion Cyberport development contract to the firm without public bidding, the Legislative Council (LegCo) announced that it had debated the matter at a meeting on Wednesday.

According to reports, lawmaker Emily Lau filed a motion asking the government to provide a definition of collusion, and to explain how monitoring systems can prevent unethical practices in this area.

Observers have suggested that it is the government's plan to hire a single developer (from a shortlist of just three) for the forthcoming HK$24 billion West Kowloon Cultural Hub project that has raised fears that it may favour certain business groups over others.

However, in a blitz on the regional media last week, Commerce, Industry and Technology Secretary, John Tsang denied that PCG had been unfairly awarded the Cyberport contract.

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