Cover-up or negligence? Lawmakers probe handling of HK$250m Mega Events Fund

Lawmakers probing the handling of the government's HK$250 million Mega Events Fund yesterday accused officials of serious negligence or a cover-up when they failed to divulge key information in a funding application.

Commerce and tourism officials facing the Legislative Council's Public Accounts Committee for the second time were asked why they did not make known the graft-buster's advice that the fund be shut down, in an application for HK$150 million in 2012.

On Monday, lawmakers revealed that the fund's secretariat, at a Legco Finance Committee meeting in 2012, chose not to mention that the Independent Commission Against Corruption had suggested two years earlier that the fund hand back all unused funds and cease operations.

The fund was set up in 2009 to promote Hong Kong as the events capital of Asia.

Committee member Alan Leong Kah-kit asked why the graft-busters' advice had seemingly been ignored. "The ICAC's opinion must have been linked to the fate of the fund … but it was completely absent in the secretariat's document for Legco on April 27, 2012," said Leong, of the Civic Party. "[This] was either intentional or serious negligence."

The hearing follows an Audit Commission report released last month that criticised the use and monitoring of the fund. It said the ICAC had in 2010 questioned the need to continue with the fund and suggested unused money be returned to the government.