HONG KONG: The government intends to leave untouched current rules concerning the disclosure of interest by the Chief Executive and political appointees.

Secretary for Constitutional and Mainland Affairs Stephen Lam Sui-lung told lawmakers that there is no need to change the rules. He said he considers the current system "effective".

At a meeting of the Legislative Council's panel on constitutional affairs, Lam said he is confident that the media and the Independent Commission Against Corruption can help monitor the conduct of top officials.

At present, the Chief Executive, as the president of the Executive Council, must declare the names of firms in which that he alone or he, along with his spouse or children, holds more than 1 percent of the issued share capital.

Political appointees, including secretaries of bureaus and the director of the Chief Executive's Office, are required to declare investments acquired through their accounts from which officials may benefit but which are held in the name of their spouse, children or others.

The code regulating political appointees also stipulates that officials should "avoid putting themselves in a position where they might arouse any suspicion of dishonesty, unfairness or conflict of interest".

Lawmaker Miriam Lau Kin-yee, the chairwoman of the Liberal Party, called on the government to clearly define the interests of which relatives should be declared in the code.

Lam said, from his observation, political appointees are capable of making their own judgment on this question.

He also said the rule requiring political appointees for avoiding conflict-of-interest also applies to the Chief Executive.

"It of course applies to him as he has to set an example," Lam said.

Legislator Cheung Man-kwong said even though top officials are not asked to declare interests of their distant relatives, they should notify people concerned when any potential conflict of interest comes up.

Democrat Lee Wing-tat said he believes that the chief executive had no intention of benefiting his son's father-in-law when setting out a coupon scheme to promote the use of energy-saving light bulbs, but he said Donald Tsang Yam-kuen should have declared his relative's business interest at an early stage.

Lam said the government always learns from experience.

On the controversial return of former senior government official Frederick Ma Si-hang to the business world last week, lawmaker Regina Ip Lau Suk-yee called on the government to review the cooling-off period for outgoing political appointees.

Currently, political appointees cannot take a new job during the following year after leaving the administration without the Civil Service Bureau's approval.

Lam called the current practice "effective".

(HK Edition 11/17/2009 page1)