Probe into Hong Kong’s water procurement scandal must restore trust
With the integrity of the system at stake, the inquiry needs to help civil servants rise to the challenges they face
An initial review by the city’s Audit Commission found human error may have been a factor. The watchdog discovered that the Government Logistics Department (GLD) had repeatedly failed to follow up on suspicious signs while awarding a contract to a company. Secretary for Financial Services and the Treasury Christopher Hui Ching-yu, who chaired a task force set up in the wake of the scandal in August, also announced six recommendations to improve the procurement process. They include stipulating specific due diligence rules, expanding the logistics department’s audit team role and revising contracts to encourage site visits.
Two months ago, the GLD terminated a three-year HK$52.9 million (US$6.8 million) contract with Xin Ding Xin Trade. The company allegedly used fraudulent documents to secure approval to supply bottled drinking water to some government offices.