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1. Wheels in motion for TST project

2. Boost for Ferris wheel bid

3. Flats freeze 'will not harm' Housing Authority finances

4. 8 officials in firing line on piling con

5. Cosco shows interest in Taiwanese opportunities

1. Wheels in motion for TST project

Plans for a giant ferris wheel on the Tsim Sha Tsui waterfront were approved yesterday by the Town Planning Board. Wharf (Holdings) (0004) will build the 75 metre wheel on a four storey retail and commercial podium as an extension to Ocean Terminal. The structure will rise to a total height of 103 metres, equivalent to a 34-storey residential tower. Ricky Wong Kwong-yiu, director of Harriman Realty, the property arm of Wharf, said he expected the ferris wheel would be completed by 2004, one year earlier than the Hong Kong Disneyland. He added the company had not yet worked out details such as the number of cable cars, the style of the wheel or the fares to be charged. The giant wheel was to become a popular tourist attraction. Wharf's ferris wheel is expected to be among the five highest in Asia. The world's tallest wheel is in London and soars 420 metres. The Planning Department recently proposed restricting high-rise development on both sides of the harbour to 40 storeys on the waterfront and 60 storeys inland to protect Hong Kong's mountain skyline. A Town Planning Board spokesman said the relaxation for Wharf's ferris wheel was unique and was not applicable to other areas in Tsim Sha Tsui or the Victoria Harbour Waterfront. Town planner Stanley Yip Chou-tak said the project would be an added attraction for tourists. Mr Yip said that although the SAR's tourist industry would be further developed through a 10-year $18 billion campaign, the main investors for these kinds of projects would be private ones.

[Source: HK-iMail, 8 September 2001]

2. Boost for Ferris wheel bid

A Wharf (Holdings) plan to build a 75-metre-high Ferris wheel on top of a four-storey retail complex in Tsim Sha Tsui has been boosted by a Town Planning Board decision to relax building height controls at the Ocean Terminal extension. Height control has been a major obstacle for Wharf's proposal. Its first application to develop the attraction was rejected in March. Yesterday, a spokesman for the planning board said the height restriction had been extended from 38 metres to 103 metres and Wharf should submit a detailed planning application for the development. Ricky Wong Kwong-yiu, Wharf's assistant chief manager of property development and planning, said the company's latest submission was a rezoning request, which was technically different from the former planning application. He expected to proceed with a detailed planning submission shortly after the zoning plan amendment had been gazetted, and he hoped the Ferris wheel could be finished by 2004. Town planner Richard Yu Lap-kee criticised the Town Planning Board for permitting the height relaxation and said the Ferris wheel would block the Kowloon ridgelines. Urban Watch chairman Wong Wah-sang said Hong Kong was unique in its need to preserve the ridgelines. "If a Ferris wheel has to be there, I would rather it rise to only 60 metres. One hundred metres high is certainly unacceptable," he said.

[Source: SCMP, 8 September 2001]

3. Flats freeze 'will not harm' Housing Authority finances

The decision to freeze Home Ownership Scheme flat sales for 10 months will not cause the Housing Authority any financial problems for at least 3-1/2 years, members of its finance committee were told yesterday. Authority accountants said it would have enough funds to maintain its construction and loan programmes without any disruption until March 2005. An authority spokeswoman yesterday confirmed that members had been given a rough overview of the financial implications of the sales suspension of more than 12,000 flats announced on Monday. Chief Secretary Donald Tsang Yam-kuen said the same number of subsidised housing loans to buy flats on the private market would be provided. A detailed annual budget and forecast on how the new arrangements would affect the Housing Authority's cash flow would be published early next year, the spokeswoman said. "It does not mean our finances would be in risk after 2005, only that our financial forecasts are made up only to that year," the authority spokeswoman said. Committee member and legislator Sin Chung-kai said he was relieved after the authority's briefing. Meanwhile, Housing Society chairman Chung Shui-ming is understood to be cutting short his overseas trip early next week to explain to the Government the society's proposal to build flats on the mainland for SAR residents. The proposal has reportedly infuriated the Government. Society executive committee member Chan Bing-woon said the idea was only preliminary and among many suggestions in its business plan.

[Source: SCMP, September 2001]

4. 8 officials in firing line on piling con

Eight Housing Department employees could face disciplinary action for their involvement in short-piling scandals at two public-housing projects, while three have had their names cleared at least for now, a department spokesman confirmed yesterday. The eight staff were among 17 people identified as being responsible for misconduct or failure of duty over short-piling and uneven-settlement problems at Yuen Chau Kok in Sha Tin and Tin Chung Court in Tin Shui Wai. But no action would be taken against the others, three of whom have been temporarily absolved. One of the nine had retired and five of them were still being investigated for corruption, a department spokesman said. It is believed the department's business director, Yuen Tze-chiu, was one of the three who escaped punishment. The spokesman said the trio had only been ``temporarily cleared of blame'', warning the department might still take action against them if new evidence was provided by the Independent Commission Against Corruption or the Legislative Council's Select Committee probing the matter. On Thursday, the eight staff involved were told they could face disciplinary action, and were given a last chance to defend themselves. They were asked to submit a written explanation to the department within 14 days. But if their arguments were not accepted, they would have to undergo a disciplinary hearing to be conducted by the Civil Service Bureau, the spokesman said. The department decided to refer the eight to a disciplinary hearing after conducting its own follow-up investigation based on an independent report completed by Director of Intellectual Property Stephen Selby last December, the spokesman said. The department said it had followed strictly the procedures of the Civil Service Bureau in the investigation, so prejudice or unfair judgment were out of question. Mr Selby's report did not identify the staff members involved in the scandals, but cleared Director of Housing Tony Miller and his deputy, Raymond Bates. Two of the eight facing disciplinary action had sought help from their union, said Wong Chin-tao, chairman of the Housing Department Structural Engineers Association. ``They have been mentally prepared for it. They have been worried about it for a long time,'' Mr Wong said. Legislator Lau Ping-cheung, a member of the Select Committee, believed the disciplinary proceedings would not affect his committee's probe. ``It is purely a problem between an employer and its employees.'' In January last year, it was found that the length of some of the piles in two of the blocks in the Yuen Chau Kok project were shorter than specified. In August 1999, excessive uneven foundation settlements were found in two blocks in Tin Chung Court. Rosanna Wong Yick-ming stepped down as Housing Authority chairwoman last September after announcing her resignation in June. She also apologised for the spate of piling scandals.

[Source: HK-iMail, 8 September 2001]

5. Cosco shows interest in Taiwanese opportunities

China Ocean Shipping (Group), the mainland's largest shipping conglomerate, is interested in exploring logistics development opportunities in Taiwan. President and chief executive Wei Jiafu recently steered a delegation to Taiwan to meet industry players, according to Liu Guoyuan, executive vice-chairman of Cosco (Hong Kong) Group. The two sides had shown initial interest in seeking co-operation opportunities, Mr Liu said. Cosco (Hong Kong) is an unlisted investment arm of China Ocean Shipping. It controls Hong Kong-listed Cosco Pacific and Cosco International Holdings. Mr Liu said co-operation would be in accordance with existing cross-strait restrictions. The China Ocean Shipping group of companies was still in the process of restructuring to enhance its capabilities. It was also too early to say how the two listed vehicles would be affected by this process. Last year Mr Liu said the parent company was considering ways of using its listed vehicles to strengthen its position in the shipping industry as part of a group restructuring. Yesterday, he said it could still take months before more details were made public. Mr Liu's remarks came as Cosco International posted a 41.2 per cent plunge in net profit to HK$20.7 million for the first half to June 30. The decrease was a result of a fall in turnover and reduced profits from its construction activities, Cosco International managing director Gordon Kwong Chi-keung said. He indicated the Government's recent decision to freeze the sale of Home Ownership Scheme flats until June next year would have an adverse impact on the company's business. However, he said the company would look for other public works contracts to offset the potential impact, and take advantage of its relations with China Ocean Shipping to watch out for property investment opportunities on the mainland. Earnings per share were 1.49 HK cents. Directors did not declare an interim dividend.

[Source: SCMP, 8 September 2001]