s

Refined scales of decaying rates of operator semigroups on Hilbert spaces: Typical behavior

Moacir Aloisio, Silas L. Carvalho and César R. de Oliveira
Proc. Amer. Math. Soc. 148 (2020), 2509-2523.
Abstract, references and article information








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On Kalton’s theorem for regular compact operators and Grothendieck property for positive projective tensor products

Qingying Bu
Proc. Amer. Math. Soc. 148 (2020), 2459-2467.
Abstract, references and article information






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Deleting or adding arrows of a bound quiver algebra and Hochschild (co)homology

Claude Cibils, Marcelo Lanzilotta, Eduardo N. Marcos and Andrea Solotar
Proc. Amer. Math. Soc. 148 (2020), 2421-2432.
Abstract, references and article information








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A topology on the set of isomorphism classes of maximal Cohen–Macaulay modules

Naoya Hiramatsu and Ryo Takahashi
Proc. Amer. Math. Soc. 148 (2020), 2359-2369.
Abstract, references and article information









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Ship's last HK passenger back home

The Security Bureau today said that the last Hong Kong resident who had contracted COVID-19 while aboard the Diamond Princess cruise ship and was hospitalised in Japan has returned to Hong Kong.

 

Immigration Department staff that assisted Hong Kong residents in Japan have completed their mission and returned to Hong Kong as well.

 

In early February, a cluster of COVID-19 infection cases occurred on the Diamond Princess cruise docked in Yokohama.

 

Of some 3,700 passengers and crew, about 370 were from Hong Kong. The 712 confirmed COVID-19 cases associated with the cruise included 76 Hong Kong residents who were hospitalised in Japan for isolation and treatment.

 

While three Hong Kong residents passed away, the remaining 73 patients returned to Hong Kong or their places of residence after being discharged from the hospital.

 

As for other Hong Kong residents on the cruise, the bureau noted that the Hong Kong Special Administrative Region Government arranged three flights, between February 19 and 23, to escort 193 of them back to the city.

 

Upon arrival, they were transferred to the quarantine centre at Chun Yeung Estate to undergo 14 days of quarantine.

 

Another 144 Hong Kong residents returned on their own via other flights, including 25 close contacts of the patients who had completed quarantine in Japan.

 

For those who returned to Hong Kong on their own and did not complete 14 days of quarantine in Japan, they were required to complete the remaining quarantine period at a quarantine centre.

 

Of the 231 cruise passengers admitted to the quarantine centre at Chun Yeung Estate, nine tested positive for COVID-19 and were sent to hospitals for isolation and treatment.

 

The Hong Kong SAR Government expressed profound condolences on the passing of the Hong Kong patients and its deepest sympathies to their families.

 

The SAR Government emphasised that the incident could not have been resolved smoothly without the staunch support of the Office of the Commissioner of the Ministry of Foreign Affairs of the People's Republic of China in the Hong Kong Special Administrative Region, the Embassy of the People’s Republic of China in Japan and Japanese authorities.

 

The SAR Government also thanked Cathay Pacific Airways and the Airport Authority for their assistance, the bureau added.




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HK residents back from Morocco

A total of 27 Hong Kong residents who left Morocco on a chartered flight arranged by the Chinese Embassy in the Kingdom of Morocco arrived in Guangzhou today.

 

Among them, 26 people subsequently took the coaches arranged by the Hong Kong Special Administrative Region Government to return to Hong Kong through the Shenzhen Bay Port and have arrived at AsiaWorld-Expo.

 

One Hong Kong resident chose to stay in Guangzhou for a 14-day isolation period for medical surveillance in accordance with the relevant requirements.




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Phone scam alert issued

The Immigration Department today reminded the public to stay vigilant against phone scammers claiming to be from the department.

 

The department said victims in recent cases received pre-recorded voice calls from scammers posing as immigration officers informing them that they would have immigration restrictions imposed on them.

 

Such calls were then transferred to another scammer posing as a non-local law enforcement officer who asked the call recipient to provide sensitive information such as personal particulars, bank account numbers and passwords.

 

The department stressed that it does not make any pre-recorded voice calls to the public, nor will it transfer calls to other non-local authorities or ask the call recipient to provide information such as bank account numbers and passwords.

 

It reminded people to verify the identity of a caller and not to disclose their personal information.

 

If people have any doubts about a call, they should immediately report it to Police.




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SJ backs Chief Justice's statement

Secretary for Justice Teresa Cheng today emphasised that Chief Justice Geoffrey Ma had stated he has not experienced interference from Mainland authorities.

 

Speaking to the media at the Legislative Council, Ms Cheng called on the public to read the Chief Justice’s statement in response to a media report about Hong Kong’s judicial independence.

 

Ms Cheng said: "The Chief Justice stated that since his taking office in 2010, he has not encountered nor experienced any interference from the Mainland authorities in any shape or form that affects judicial independence, including the appointment of judges.

 

"Nothing is better than the direct evidence of the Chief Justice himself telling us that there is not any such interference."




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Arrests based on evidence

The Security Bureau said Police have the duty to take lawful measures for apprehending people when sufficient grounds exist.

 

The bureau issued the statement in response to media inquiries regarding a number of people arrested by Police today in connection with organising and participating in unauthorised assemblies.

 

It emphasised that under the Police Force Ordinance, Police have the duty to take lawful measures for apprehending all persons whom it is lawful to apprehend and for whose apprehension sufficient grounds exist.

 

The bureau noted that the relevant arrests were made based on evidence from investigations and strictly according to the laws in force.

 

It pointed out that in Hong Kong, everyone is equal before the law and that no one is above it nor can break it without facing consequences.

 

The bureau explained that if there is evidence that anyone violates the law, regardless of their status or background, they must face justice. No one has any special privileges.

 

Police will handle the case in a fair, just and impartial manner in accordance with the law, it added.




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Courts to resume in May

The Judiciary today announced all court proceedings will resume as safely as circumstances permit from May 4.

 

Court and tribunal registries will reopen in stages from May 6, including the registries of the Court of Final Appeal and the High Court.

 

Having regard to the public health situation and the need for social distancing, court business will initially be conducted under a reduced capacity.

 

The Judiciary will continue to put in place appropriate preventive and crowd management measures.

 

The measures include requiring all people entering judiciary premises to undergo temperature checks and wear face masks.

 

They also include putting in place queuing, ticketing and triage systems, designated entry and exit points as well as admission control to limit the number of court users entering and remaining on judiciary premises.

 

To maintain social distancing, chessboard seating arrangements will continue to be adopted in courtrooms and court lobbies will reduce seating capacity by half.

 

Additionally, capacity limits will be set for areas such as court registries and accounts offices to avoid crowding.




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May 1 procession prohibited

Police today announced its decision to prohibit two public meetings and object to a public procession intended to be held on Hong Kong Island on May 1.

 

Upon risk assessment, Police said it regarded that the public meetings and procession are high-risk activities with crowd gatherings.

 

Police have grounds to believe that such activities do not only increase the risk of infecting participants and other people with COVID-19, but pose a serious threat to the lives and health of all citizens, jeopardising public safety and affecting the rights of others.

 

Police emphasised that it believed it is necessary to prohibit the public meetings and object to the public procession in accordance with the Public Order Ordinance for maintaining public order and public safety as well as protecting the rights and freedom of others.

 

Police reminded the public that taking part in an unauthorised assembly is a criminal offence and those found guilty could be liable to five years’ imprisonment.




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LawTech Fund applications set

The Government today announced the establishment of a LawTech Fund to help law firms and barristers' chambers procure and upgrade information technology (IT) systems and arrange lawtech training courses for their staff.

 

In a statement, the Department of Justice said the LawTech Fund, established under the Anti-epidemic Fund, will be open for applications from April 28 and cater to small and medium-size law firms as well as barristers’ chambers.

 

Applications will be accepted for two months and those eligible can receive a reimbursement of up to $50,000.

 

The Law Society of Hong Kong and the Hong Kong Bar Association will establish a joint committee to assess the applications and arrange funding disbursement.

 

More than 60% of law firms and 50% of barristers' chambers in Hong Kong are expected to benefit from the funding.

 

As for funding eligibility, law firms or chambers must have five or fewer practising lawyers as at April 8 and at the time of granting the subsidy.

 

The subsidies must be used for procuring and upgrading IT systems, including but not confined to video-conferencing facilities. The lawtech training that is to receive the subsidy must be recognised and approved by the joint committee.

 

The application form and guidance notes are available at the homepages of the Law Society and the Bar Association.

 

The Secretary for Justice has given an outline of the fund and discussed lawtech in her blog.




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No misuse of gathering ban: SJ

Secretary for Justice Teresa Cheng today refuted suggestions that the law prohibiting group gatherings to combat the COVID-19 epidemic was being misused to crack down on protests and people's freedoms.

 

During a media session, Ms Cheng responded to criticisms from some legislators that Police were abusing the measure to clamp down on protests.

 

She said: “The Government respects and protects the freedoms that are set out in our laws, Basic Law and the Hong Kong Bill of Rights Ordinance. However, these freedoms are not absolute. Insofar as they violate the laws, then of course appropriate actions will have to be taken.”

 

The Government had earlier introduced the Prevention & Control of Disease (Prohibition on Group Gathering) Regulation (Cap. 599G) to prohibit group gatherings with more than four people in public places with a view to combating COVID-19.

 

The regulation was made in accordance with the Prevention & Control of Disease Ordinance (Cap. 599).

 

“Cap. 599G is enforced under Cap. 599 as a matter of the public health emergency situation that is facing Hong Kong at the moment. It is promulgated to encourage social distancing. It is not with any other motive except for the safety and health of the people in Hong Kong.

 

“I hope that you will all comply with it in spirit and in form, so that you will not gather and thereby extend Hong Kong's position in this public health emergency situation. That is the only way by which we can get back to normal life as soon as possible.”

 

In response to a reporter's question on the relevant provisions in the Basic Law that pertain to the Liaison Office of the Central People's Government in the Hong Kong Special Administrative Region, Ms Cheng remarked that the liaison office must also comply with Hong Kong laws.

 

“The Central People's Government as defined in the Constitution Law is actually the State Council, and therefore when one looks at the whole thing about the Constitution Law, Article 5 of the Constitution Law states unequivocally that every body that is set up will have to comply with the relevant laws and the Constitution Law.

 

“In other words, the liaison office will have to obey and comply with the laws in Hong Kong.”




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Flight set for HK people in Pakistan

The first batch of about 300 Hong Kong residents stranded in Pakistan will take a chartered flight tentatively scheduled to leave Islamabad on the morning of April 30 and arrive in Hong Kong in the afternoon.

 

In a statement today, the Security Bureau said the returnees upon arrival at Hong Kong International Airport will proceed to the Temporary Specimen Collection Centre at AsiaWorld-Expo by coach for compulsory COVID-19 testing before they are transferred to the quarantine centre at Chun Yeung Estate for a 14-day quarantine.

 

In view of the COVID-19 situation, the Pakistan Government banned all international flight movements since late March, resulting in Hong Kong residents there being unable to return to Hong Kong through normal means.

 

The Immigration Department has received requests for assistance from Hong Kong residents stranded there and as at yesterday, it has successfully contacted about 1,600 of them.

 

Due to the large number of people requesting assistance and having regard to the returnees' quarantine arrangements, the capacities for testing, and the quarantine and treatment facilities, the Hong Kong Special Administrative Region Government must adopt a phased approach in assisting their return, subject to the circumstances.

 

The first batch of Hong Kong residents on the chartered flight are those staying in Islamabad and its surrounding areas. They also include people with special needs such as those with illnesses and pregnant women.

 

The cost of taking the chartered flight is about $6,000 per person and is borne by the user.

 

The Security Bureau said the chartered flight could not have been arranged smoothly without the staunch support of the Office of the Commissioner of the Ministry of Foreign Affairs of the People's Republic of China in the Hong Kong Special Administrative Region (OCMFA) and the Chinese Embassy in Pakistan, as well as the full co-operation rendered by the Pakistan Government and the Consulate General of Pakistan in Hong Kong.

 

The bureau said the Hong Kong SAR Government will continue to liaise with the residents still in Pakistan and assist in their return.

 

Meanwhile, a flight will arrive from Doha this afternoon carrying about 170 Hong Kong residents returning from Pakistan themselves.

 

The bureau added that upon their arrival in Hong Kong, they will be arranged to leave deep throat saliva samples at the Temporary Specimen Collection Centre before being admitted to the quarantine centre at Chun Yeung Estate for a 14-day quarantine.

 

Apart from Pakistan, the Indian Government has also since late March banned all international flight movements. As at yesterday, the Immigration Department has successfully contacted about 3,100 Hong Kong residents stranded there who sought assistance to return home.

 

The Hong Kong SAR Government is maintaining close contact with the OCMFA, the Chinese Embassy in India and the Consulate General of India in Hong Kong, while also contacting several airlines to arrange return flights to Hong Kong.




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Immigration services to resume

The Immigration Department today announced that aside from its Smart Identity Card Replacement Centres (SIDCC) service and passenger immigration clearance service, it will resume full public services on May 4.

 

Due to the COVID-19 epidemic, the services of the nine SIDCCs had been suspended earlier.

 

Around 640,000 people could not replace their Hong Kong identity cards during their specified periods and about 90,000 people are waiting to collect their new identity cards.

 

To allow affected people to apply for and collect identity cards in an orderly manner, the SIDCCs will first provide identity card collection service and arrange applicants born in 1957 to 1961 who had made appointments before to have their cards replaced once the service resumes.

 

Other applicants are advised to make appointments to replace their identity cards if they have not done so before.

 

The department plans to revise designated replacement periods for identity card holders born in 1957 to 1963 and between 1970 and 1976.

 

Details will be announced later. For enquiries regarding identity cards, call 3521 6565.

 

Additionally, passenger immigration clearance services at immigration control points except for the Hong Kong International Airport, Shenzhen Bay and Hong Kong-Zhuhai-Macao Bridge Control Points will remain suspended until further notice.

 

Call 2824 6111 or send an email for enquiries.




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Lawbreaking violates rule of law

The violence and vandalism in recent months sparked a crisis of confidence of our rule of law. The so-called justice lawbreaking or civil disobedience is never justified under the law. I urge all of you not to engage in any illegal activities.

 

The Court of Final Appeal in its judgment (FACC8-10/2017) pointed out that: (1) unlawful assemblies involving violence, even a relatively low degree, will not be condoned and may justifiably attract sentences of immediate imprisonment in the future; and (2) little weight will be given to the mitigation that the offending act was committed in the exercise of constitutional rights or acts of civil disobedience because the fact of a conviction will necessarily mean the offender has crossed the line separating the lawful exercise of his constitutional rights from unlawful activity subject to sanctions and constraints.

 

There are suggestions that deliberate lawbreaking might be considered to achieve objectives, however, this would bring a wrong concept of the rule of law. The escalated violence and vandalism in the last few months have also undermined the perception of the rule of law among the public. My colleagues and I would promote and publicise the correct concept of the rule of law to the citizens through different channels. In analysing the current situation, I hope that we all could remain reasonable and objective by keeping an open mind, being informed and considering all relevant facts before coming to a conclusion.

 

Our rule of law has been highly regarded, and such an achievement was not easy to come by. We should all join hands to cherish and safeguard our rule of law. Abiding by the law is one of the many obligations that ought to be observed by the public. Law exists in practice but it should not only be practised by lawyers, judges and governments. More importantly, the rule of law should be observed and respected by the community as a whole. The Government would continue to be strongly committed to upholding the rule of law.

 

Secretary for Justice Teresa Cheng wrote this article and posted it on her blog on December 22.




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Collective effort can revitalise HK

On this last Sunday of 2019, I wish every Hong Kong citizen a warm, peaceful and hopeful year 2020.

      

A New Year holds welcome promises of a fresh start and a new beginning. The New Year is also traditionally a time for planning, greeting, reminiscing as well as some soul and heart searching.

      

I believe that many of you would share my feeling that the year 2019 has been a year of unremitting shocks and turbulence to our community and our economy. Indeed, it has been a severely testing time for all in Hong Kong.

      

It all began with the introduction into the Legislative Council of the bill to amend the Fugitive Offenders Ordinance in April. Responding to strong public sentiment, the Government suspended all work on the bill in mid-June and declared its death in early July. On September 4, the Chief Executive announced the bill's withdrawal. This was done on October 23 when the Legislative Council resumed normal business.

Despite this, the public protests which began as largely peaceful and orderly marches in June soon got out of control. Unprecedented violence and reckless destruction became the norm. Radical protesters attacked police officers as well as police stations and facilities with petrol bombs, iron bars, bricks and chemicals. Some even used high-tension slingshots, bows and arrows. During the past six months or so, over 2,600 people were injured in the social unrest, including over 500 police officers.

            

Meanwhile, public infrastructure and transport including a cumulative total of 85 heavy rail stations and 62 light rail stations, as well as countless shops, restaurants and shopping malls had been repeatedly vandalised. More so, nearly 21,000 square metres of paving blocks from footpaths were ripped up and used as weapons to attack Police. Over 52,000 metres of roadside railing were removed and 740 sets of traffic lights destroyed.

      

Last month, masked protesters battered the Hung Hom Cross-Harbour Tunnel, shutting it down for two full weeks. This vital city artery normally carries 110,000 vehicles a day, accounting for some 43% of the daily cross-harbour vehicular flow. It took a total of 800 government staff and contractor's workers some 100 hours to carry out emergency repair round-the-clock before the tunnel could be reopened. At the same time, nearby Polytechnic University was overrun by radical protesters. The same happened to the Chinese University.

      

Apart from recklessly damaging our universities, violent protesters turned the two campuses into arsenals on a frightening scale. When the last of the protesters finally left the universities, Police seized altogether nearly 8,000 petrol bombs plus numerous explosives, hundreds of bottles of corrosive liquid and weapons of all sorts.

      

This level of premeditated and organised destruction and violence could hardly be tolerated in any country or economy that upholds the rule of law. Hong Kong, I am proud to say, is among those economies that believe passionately in the primacy of rule of law. It safeguards our economy, our community, our families and our way of life.

      

In fact, the rule of law is among Hong Kong's much cherished core values, alongside our fiercely independent judiciary, clean government, level playing field for business and enviable freedoms. These freedoms, as enshrined in the Basic Law and the Hong Kong Bill of Rights Ordinance, include freedom of speech, of the press and free flow of information; freedom of association and assembly; free trade and free port; free flow of capital; freely convertible currency; freedom of religious belief and free education. We have also been the freest economy in the world continuously for 25 years. The unique "one country, two systems" formula has been functioning well and we enjoy the best of both worlds.

      

Despite the recent social unrest which has affected our economy and labour market, Hong Kong's institutional strengths remain robust and intact. Our fundamentals stay sound and strong. We still enjoy a high rating in various areas by international think tanks and agencies. Allow me to say that whilst Hong Kong may not have the full semblance of Western democracy, we do enjoy for a very long time the full substance of real freedom which underpins Hong Kong's success.

      

Over the past six months, most of the requests for public meetings, processions and protests were given the greenlight by Police. During these public events, be it small or large, Police had dutifully facilitated and ensured the safety of protesters and other road users. When the requests were not approved, it was generally a decision made in the hopes of preventing violence, ensuring peace and public order, as our society has every right to expect of its police and its government.

      

On November 24, we witnessed a peaceful and orderly District Council Election with a record high turnout and voting rates. My colleagues and I are looking forward to working with all new District Council members. We also look forward to expanding our dialogue with the community. While we will continue to engage different sectors of society through our usual channels, the Government will broaden and rejuvenate our communication with the public. Less than two weeks ago and after the one by the Chief Executive in September, my Principal Official colleagues have started a dialogue with the public through Facebook live. You will certainly see more of us listening and responding to people's views and concerns on these and other communication channels in the coming year.

    

We are also establishing an Independent Review Committee comprising experts and community leaders. The committee will look into the causes and full circumstances of the social unrest and probe into Hong Kong's deep-seated social conflicts, from affordable housing, land supply, wealth gap, upward social mobility and opportunities for our young people to social justice. The committee will recommend ways to address the real and long-entrenched community concerns that underlie the discord.

 

Meanwhile, our economy is inevitably affected by the twin blows of social unrest and the trade dispute between the United States and the Mainland. Businesses and people of Hong Kong are yearning for the restoration of peace and order soonest possible, and the recovery of our economy.

      

In response, the Government has launched four rounds of relief measures since August. These added up to more than $25 billion. A number of the measures which will benefit grassroots families and small and medium enterprises will be implemented at the beginning of the New Year.

      

These relief measures would not solve our economic problems. Yet, they could help businesses and people of Hong Kong stay afloat while we strive to heal our divided community and battered economy.

      

There are deep-seated issues that we must acknowledge and resolve if we are to end the prolonged social unrest that has shaken the familiar Hong Kong which we all love and cherish. We must be patient and perseverant in helping our city to heal, one step at a time.

      

The past six months have been tough for us, but we will soldier on. Hong Kong is a remarkably resilient and resourceful international city with a strong can-do spirit. We have a New Year waiting for us. We have new and expanded channels of communication opened up for us. We expect the first report of the Independent Police Complaints Council to come out soon. And we have research and concrete recommendations of the Independent Review Committee ahead of us. Working together, I am confident that we can rebuild, reclaim and rejuvenate the remarkably resilient spirit of Hong Kong.

      

On this note, I wish all of you a New Year blessed with peace, harmony and goodwill.

 

Chief Secretary Matthew Cheung gave these remarks on RTHK's "Letter to Hong Kong" programme aired on December 29.




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Treasure judicial independence: SJ

In recent times, criminal damage has been repeatedly inflicted on our court buildings through graffiti. Some went as far as making derogatory remarks against specific judges which may amount to contempt of court. It is bewildering as to what such acts could achieve except a futile attempt to undermine the very core value that we cherish and respect.

 

Judicial independence is the key building block to our society. These rampant acts and statements, and for that matter, any views expressed in society or media, would not in any way usurp the decision-making process in court proceedings, nor will they affect our judicial independence as our judges will continue to decide cases based only on evidence and law, setting out how they have arrived at such decisions in their judgments, which are available to the general public. They have taken a judicial oath to administer justice without fear or favour and it is their duty to so do.

 

Judges in Hong Kong are appointed upon the recommendation by a statutory committee comprising nine members including the Chief Justice of the Court of Final Appeal, the Secretary for Justice, two judges from the Judiciary, one barrister and one solicitor, as well as three eminent and respected members of the society not connected with the practice of law. Our judges would not be subjected to any political vetting. The only criteria upon which they are considered before appointment is the judicial and professional quality that contributes to our renowned judicial independence.

 

Judges enjoy security of tenure and immunity. Upon the appointment, district court judges and above are precluded from returning to practice in Hong Kong as a barrister or a solicitor. This “non-revolving door” system has worked well in preventing perceived potential conflicts of interest and enhances the independence of our judiciary.

 

Our judges manifest the highest professional and judicial quality as well as impartiality through the reasoned judgments that they deliver. Hong Kong cases are often cited in overseas jurisprudence evidencing the confidence and respect of the global legal community in Hong Kong’s judicial and legal systems.

 

The institutional framework described above, the guarantee of judicial independence explicitly set out in the Basic Law and the quality of our judgments contribute to the much respected judiciary and rule of law in Hong Kong. To top it all is that eminent and highly respected judges from apex court of other common law jurisdictions sit on our Court of Final Appeal as non-permanent judges. They sit on all types of cases, from commercial, criminal to constitutional and have witnessed Hong Kong’s system in administering justice.

 

One of our non-permanent judges of the Court of Final Appeal, the Right Honourable the Lord Neuberger of Abbotsbury (former President of the Supreme Court of England and Wales who presided over the Brexit case), pointed out in a seminar in 2017 that his own direct experience as a non-permanent judge since 2010 proved that the Permanent Judges of the Court of Final Appeal are as institutionally independent and impartial. He also said that he has every reason to believe that this is equally true of the judges in the other courts of Hong Kong. He even said he would not be sitting in the Court of Final Appeal if he had any serious concerns about judicial independence or judicial impartiality in Hong Kong.

 

More recently, the Right Honourable Beverley McLachlin, PC, another non-permanent judge of the Court of Final Appeal and also a retired chief justice of Canada, described in an interview that Hong Kong’s law is very rigorously applied, the judges are of high calibre, it is a very high level of judging, and the court is independent.

 

These remarks from eminent and respected judges from around the world speak volume about Hong Kong. One cannot help but be perplexed as to why some chose to try to undermine these core values baselessly and insidiously. It behoves each of us, in particular the legal sector including the two branches of the legal profession, to protect our judicial independence that underpins Hong Kong’s success and encourage others to join hands through our own sphere of influence. It is high time we bring back the Hong Kong we are familiar with.

 

Secretary for Justice Teresa Cheng wrote this article and posted it on her blog on January 5.




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HK resilient in face of unrest: CE

We are less than two weeks into the new year and already, geo-political concerns, large and alarming, dominate the news. Still, I believe the year ahead will mark a milestone for Asia. Asian economies, in terms of purchasing power parity, will become larger than the rest of the world combined for the first time since the 19th century. That represents a quantum leap from about one-third just two decades ago. Asia this year will also be home to half of the middle class of the world. That heralds enormous business opportunities for the world at large. Indeed, Asia, powered by Mainland China, has for some time been a global growth engine.

 

Hong Kong, with its strategic regional location, and its extensive, ever-deepening cultural and financial links with the Mainland, is China's international financial centre, contributing to the sustainable progress of the country, the region and the world.

 

In pursuing sustainable development, quality as well as quantity counts. Today's economies are exploring growth through innovation and technology, while seeking inclusiveness. They are, to be sure, hard-won goals given the unprecedented challenges we've faced over the past two years: the global economic slowdown, trade disputes among major economies, geopolitical uncertainties and local issues. But if we cannot direct the wind, we can surely adjust our sails, which has been what we are doing here in Hong Kong. Thanks to lessons learned and measures implemented, particularly since the Asian financial crisis, Hong Kong's financial system remains stable and remarkably successful.

 

Globally competitive

Our core competitiveness, and our status as one of the world's premier financial centres, continues to be internationally recognised. Last September, we again ranked third in the world in the Global Financial Centres Index, just behind New York and London. That's a compelling statement of confidence in our freely convertible currency, our world-class banking system and stock market and the professionals who power our financial sector. It's a telling reflection of our strategic geographic location and sophisticated connections to global financial markets. It's recognition, too, of the free flow of capital within, into and out of Hong Kong, as enshrined in Article 112 of the Basic Law. More than capital flows, information and people also move effortlessly in and out of Hong Kong.

 

People around the world are confident in our regimes. They take reassurance in our trusted and bilingual common law system, our sound financial regulatory framework, low taxes and deep connections with the Mainland and the rest of the world. It helps, too, that Hong Kong again topped the world in 2019 in funds raised through initial public offerings, taking in about US$40 billion in 2019. That marked the seventh time in the past 11 years in which Hong Kong has led the world in IPOs.

 

Hong Kong is also the first international financial centre to have laid down a clearly-defined and comprehensive regulatory regime for listed companies with weighted voting rights structures and additional corporate governance and disclosure requirements. It's clearly working. Hong Kong is now the second-largest fundraising venue in the world for biotech companies. And, of course, the Alibaba Group Holding's secondary listing on our stock market in late November was one of the world's biggest stock offerings of 2019. The decision by the e-commerce giant - one of the Mainland's largest e-commerce companies and Asia's most valuable listed companies - may well encourage other Mainland enterprises listed elsewhere, to expand their investor links into the Asian region, with Hong Kong as their base.

 

Then there's the Guangdong-Hong Kong-Macao Greater Bay Area development. With a population of 71 million and a combined GDP of US$1.6 trillion, the Greater Bay Area and its huge market potential present boundless promise for Hong Kong, particularly our financial services sector.

 

Innovation will drive development in the bay area. Measures will be rolled out to expand the flow of capital and people, opening up new markets and business opportunities thanks to enhanced connectivity. Among others, with the support of the Central Government, especially a Leading Group on the Greater Bay Area development chaired by the Vice Premier Han Zheng, a two-way wealth management connect scheme is being drawn up to meet the cross-boundary, wealth-management needs of residents in Hong Kong and the rest of the bay area.

 

Coupled with the Belt & Road Initiative, the bay area development will ensure long-term prospects for Hong Kong's economy. Through these two national policies, Hong Kong will enhance its role as the business bridge between the Mainland and the rest of the world. I'm talking here of our status as a leading fundraising centre, the world's largest offshore renminbi business hub and a premier asset and wealth management hub.

 

We are no less committed to Hong Kong's development as a green finance centre. In May 2019, we issued our inaugural green bond under the Government Green Bond Programme. And, with the introduction of a Green Bond Grant Scheme, which subsidises green bond issuers in obtaining certification under the Green Finance Certification Scheme, green bonds issued and arranged in Hong Kong in 2018 reached US$11 billion. A good start, I'd say, in creating financial programmes that also pay off in environmental benefits for our sustainable development.

 

We are hard at work as well on enabling development of our capital markets. Our open-ended fund company regime has been in operation since end-July 2018. And since last April, onshore and offshore privately offered funds can enjoy profits tax exemption under our tax law.

 

We're also building on our mutual recognition of funds arrangement. It now covers six economies: the Mainland, Switzerland, France, the United Kingdom, Luxembourg and the Netherlands. Such connections will strengthen our role as the world's premier offshore renminbi hub and wealth management centre.

 

Our connectivity with the Mainland is also enhanced through such financial schemes as Hong Kong-Shanghai Stock Connect, Hong Kong-Shenzhen Stock Connect and Bond Connect. Since its inception, in late 2014, stock connect has realised cumulative net transactions of about US$150 billion in the Mainland and over US$130 billion in Hong Kong.

 

We continue to diversify our fund structures. Among other things, we are working on a new regime of limited partnership for the registration of private equity funds. We are also enhancing Hong Kong's status as an international insurance and risk-management hub. And, to broaden the range of risk-management offerings in Hong Kong, we plan to enable the issuance of insurance-linked securities, including catastrophe bonds. Moreover, we will expand the scope of insurable risks by captive insurers in Hong Kong to meet the risk-management needs of multinationals.

 

To exemplify our commitment to technology, last year, we issued eight virtual banking licences, as well as two virtual insurer licences. These can spur financial innovation, while boosting customer experience and building financial inclusion. And our Faster Payment System, launched in 2018 to enable instant payment, now handles about 168,000 transactions, totalling more than US$307 million, a day.

 

Bridging East and West

We've been busy making the most of Hong Kong's manifold advantages. In creating connections between businesses, investors and financial markets, East and West, we help you excel. That is also the great strength of the Asian Financial Forum (AFF), bringing East and West together for two intensive days of the latest information and intelligence, deliberation and debate, networking opportunities and business promise.

 

This year's AFF is, as always, packed with panel discussions and workshops on financial policy, asset and wealth management, insurance, sustainable finance and deal-making sessions. As fintech continues to shake up the financial world, the AFF continues to expand its focus on fintech. This year, we launch the FintechHK Startup Salon, showcasing promising business ideas from fintech startups. It builds on the success of last year's Fintech Showcase, which returns with more than 60 fintech startups. And there's even more on offer this year in areas, ranging from global trade finance to environmental, social and governance, profit with purpose and succession planning for family corporations.

 

It gives me great pleasure, as well, to tell you that your keynote luncheon speakers today and tomorrow, respectively, are Dr Janet Yellen, formerly the Chair of the US Federal Reserve System's Board of Governors, and Prof Abhijit Banerjee, the 2019 Economics Nobel laureate. I am honoured that they come to Hong Kong and offer us their insight and their inspiration.

 

The forum is part of International Financial Week in Hong Kong, which brings together some 16 events covering everything from private equity and fund-raising to alternative investment and advertising strategies for financial concerns. A trip to Shenzhen is also featured this year, with visits to leading financial services and technology companies. Shenzhen, of course, is our close partner in the bay area and a global pacesetter in technology.

 

The Asian Financial Forum symbolises Hong Kong's wide-ranging strengths and resilience as an economy and a community. These strengths and resilience, just like our financial systems, have not been undermined despite that we have experienced considerable social unrest and challenges in recent months. Through the concerted efforts of the Government, and the people of Hong Kong, I am confident that we will bridge our divide, that we will realise the common goal of a reunited community and a flourishing economy.

 

Chief Executive Carrie Lam gave these remarks at the 13th Asian Financial Forum on January 13.




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HK financial market stable

The challenges, for Hong Kong, are as much local as they are global. I know many of you are concerned about the recent social unrest here in Hong Kong, about whether it is affecting our financial market and whether there has been outflow of funds.

  

First of all, there's the obvious: Hong Kong is undergoing a time of unprecedented turbulence. Dissension has gripped our community for months now. That said, we are working to address and respond to those concerns, determined to find a path to peace, harmony and renewed prosperity in 2020.

 

We have been making progress. But there is still much to be done before we can put this testing time behind us.

 

Competitive advantages

What I can tell is that the advantages Hong Kong has long been recognised for are still very much with us, and they are not going anywhere anytime soon.

 

They begin with our enviable location, at the heart of Asia. Which means that Hong Kong is fully plugged into the round-the-clock global financial trading cycle. We provide certain and seamless connectivity with the financial hubs of Europe and North America, as well as those in the Middle East and across Asia.

 

Hong Kong is blessed with the dual advantages of "one country, two systems". The rule of law, an independent judiciary and an unshakable adherence to free enterprise are among Hong Kong's core values.

 

We offer businesses from the Mainland and all over the world - more than 9,000 at last count - a level-playing field, a competitive market, whatever their businesses, whatever their investments. Our linked exchange rate system remains solid, our currency fully convertible and capital flowing in and out freely, as enshrined in Article 112 of the Basic Law. Our capital markets are deep and liquid.

 

Despite our external and domestic challenges, Hong Kong's financial market remains stable. Our banking system continues to run smoothly and with ample liquidity.

 

The figures speak for themselves. In 2019, Hong Kong again topped the world in funds raised through IPOs - some US$40 billion worth. This is the seventh time we have come first in the past 11 years.

 

Our stock market's capitalisation is about US$4.9 trillion. That's more than 13 times Hong Kong's GDP.

 

As at end November 2019, bank deposits in both Hong Kong dollars and foreign currencies continued to increase over the same period last year, totalling US$1.8 trillion.

 

Our exchange rate remains stable. These and other measures reflect the integrity of Hong Kong's financial and legal system, the confidence it conveys, even as we face formidable external and domestic shocks.

 

In September last year, the Global Financial Centres Index once again ranked Hong Kong among the world's top three financial centres, behind only New York and bearing in on London.

 

Last October, the World Economic Forum's Global Competitiveness Report ranked our financial system top in the world, while the World Bank rated Hong Kong the third-easiest place to do business.

 

Hong Kong is still very much the largest offshore renminbi business hub in the world.

 

We are, as well, the premier asset and wealth management centre. Apart from exempting onshore and offshore funds from profits tax, we are considering introducing a more competitive tax arrangement to attract private equity funds to domicile in Hong Kong.  

 

The insurance industry is equally important. We have, after all, the highest concentration of insurers in Asia - more than 160 at the end of September. And we will enable the issuance of insurance-linked securities, expanding the insurable risks of captive insurers in Hong Kong.

 

On the taxes front, we already have the world's most business-friendly tax system, according to Paying Taxes 2020, a report produced by Pricewaterhouse Coopers and the World Bank. Still, we plan to provide tax relief to promote the development of marine insurance and the underwriting of specialty risks in Hong Kong.

 

Green finance is our policy priority going forward. Green bonds issued and arranged in Hong Kong increased over 200% to US$11 billion in 2018 as compared to the previous year.

 

That was followed by our inaugural government green bond issuance of US$1 billion last May. And we plan to issue more, and encourage more entities to arrange financing for their green projects right here in Hong Kong.

 

Fintech is another area where we strive to excel.

 

Looking at the big picture, the International Monetary Fund (IMF)'s latest projection of global economic growth this year has been adjusted downward to 3.4%. Growth in Asia, however, will continue to outperform the rest of the world.

 

The IMF forecasts the Mainland economy to grow by 5.8% in 2020, down slightly but still far and away leading most other jurisdictions.

 

Robust financial system

As for Hong Kong, the IMF Staff Report last month commended the resilience of our financial system and linked exchange rate, despite its slowing economy. The IMF's Hong Kong report noted, and I quote, that "robust policy frameworks and ample buffers will help the economy weather the challenges ahead".

 

The IMF also expressed approval for the Government's wide-ranging policies to support the economy and safeguard financial stability.

 

While we welcome the IMF's confidence in Hong Kong, I am prepared to roll out further relief measures as necessary.

 

We will also step up efforts to capitalise on emerging opportunities - not only from green finance and fintech but from the development of the Guangdong-Hong Kong-Macao Greater Bay Area and the Belt & Road Initiative, which demonstrates Hong Kong's uniqueness and irreplaceable position in the Mainland's national and economic development strategy.

 

Hong Kong is, and will remain, the business bridge between the Mainland and the rest of the world. Count on Hong Kong, as always, to be your partner, to help you build your business in the Mainland, throughout the Asian region and around the world. Count on Hong Kong to connect you with abundant capital and continuing opportunities.

 

Financial Secretary Paul Chan gave these remarks at the 13th Asian Financial Forum keynote luncheon on January 13.




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Unlocking HK’s business potential

To counter our adverse economic conditions, I have unveiled four sets of relief measures since last August. Totalling some $25 billion, the funds are focused on supporting businesses and lightening the burden weighing on the people of Hong Kong.

 

Meanwhile, we will continue to reach out to the community. Through wide-ranging dialogue communication and the pursuit of policies that address the deep-seated issues at the heart of our divide, I am hopeful that together we will find a path to peace and prosperity.

 

From an economic perspective, there is reason for optimism. I am heartened by the confidence private equity investors have shown in us. In the third quarter of 2019, some 560 private equity companies here managed US$153 billion.

 

We have nearly 50 more private equity (PE) firms based here when compared with the previous quarter. Among the world's top 10 PE fund managers, nine have a presence here in Hong Kong. That, ladies and gentlemen, underlines Hong Kong's formidable strengths in the Asian PE market. In that we trail only Mainland.

 

By channelling capital into corporations and startups in the innovation and technology field, PE and VC (venture capital) funds may well become as important as banks and IPO markets one day.

 

This Government is determined to help unlock the vast potential of the asset and wealth management business, because we believe you are critical to ensuring Hong Kong's status as one of the world's leading financial centres.

 

Fund-service centre 

That is why we have been stepping up efforts to sharpen Hong Kong's competitive edge on asset and wealth management through a multi-pronged approach including: (a) diversifying our fund structures and streamlining the licensing process to encourage fund formation; (b) adopting a more user-friendly approach to attract family offices; (c) providing a more facilitative tax environment for funds; and (d) expanding our fund distribution network through deepening our mutual access arrangements with other major financial markets.

 

On fund structure, the long-awaited, limited-partnership fund regime is close to reality, thanks in part to your favourable feedback. Indeed, we are now developing the necessary legislation. Because of the current filibustering at the Legislative Council, the tabling of the legislation got a little delayed, but it remains our top policy priority for the rest of this year to put this forward.

 

We are confident that the new regime will attract PE and VC funds, and we count on your support for that. With the new regime in place, we aim to bring in as many offshore funds as possible onshore to Hong Kong. We are well positioned to capture the opportunity arising from what happened on the international front over tax base erosion. This is mutually beneficial to Hong Kong as a fund hub and also the PE industry at large as you search for a new home for the funds you manage.

 

PE and VC funds, whether onshore or offshore, have enjoyed a profits tax exemption since last April. A tax-exempt fund can invest in local and overseas private companies. Hong Kong, by now, has a tax regime at fund level that is competitive and caters to the needs of the PE industry. I fully understand that resolving the tax issues at fund level is not enough in itself. It is of even greater importance to tackle head-on the tax arrangement for investment managers. This is a hard nut to crack, but one that I am determined to look into and come up with solutions that will strengthen Hong Kong's position as a leading fund hub with one of the most competitive tax arrangements for investment managers in the PE industry.

 

The significance of the limited partnership fund regime in completing Hong Kong's fund manufacturing infrastructure is underpinned by its precursor - the open-ended fund company regime. Since its operation in July 2018, a number of open-ended fund companies have sprouted. The SFC (Securities & Futures Commission) is also looking into how to make the regime more business-friendly to facilitate the take-up.

 

In short, the Government and our regulators are committed to developing Hong Kong into a full-fledged fund-service centre.

 

We are equally intent on expanding our fund-distribution network. We continue to expand our Mutual Recognition of Funds arrangements. Last year, Luxembourg and the Netherlands joined existing partners, the Mainland, Switzerland, France and the United Kingdom. More international partnerships will follow.

 

Family offices
Hong Kong is also an ideal location for the establishment of family offices, and we are boosting our promotional efforts in this regard.

 

The Hong Kong Monetary Authority and InvestHK will provide comprehensive services to attract family offices to Hong Kong. The SFC has also recently issued licensing guidance for PE firms and family offices. This will enhance clarity and would help address the industry's concerns.

 

Without a steady flow of talented professionals, of course, we will not be able to cash in on all the opportunities there for us. That is why the Government's Pilot Programme to Enhance Talent Training for the Asset & Wealth Management Sector has been supporting the industry since 2016.

 

I encourage you to offer exposure, opportunity and jobs for our youth. To give them a stake in the society through the programme.

 

Business bridge 

Zooming out a bit, the Government will continue to boost Hong Kong's singular advantage as the business and financial bridge between international markets and investors and their counterparts on the Mainland.

 

To that end, we continue to emphasise the established channels - our Stock Connects, Bond Connect and the Mutual Recognition of Funds arrangements. We will also strengthen our position as the global offshore Renminbi business hub.

 

Then there is the Guangdong-Hong Kong-Macao Greater Bay Area Development, and the extraordinary opportunity that it presents to Hong Kong.

 

With a GDP in excess of US$1.6 trillion and more than 70 million prosperous consumers, the Greater Bay Area presents vast potential for the asset and wealth management sector. For each and every one of you. The establishment of a Greater Bay Area wealth-management connect scheme, which was, as you know, recently announced, will go a long way towards realising that promise.

 

Our regulators are working out the details with their counterparts on the Mainland, and we will keep you posted and we are determined to push that forward as soon as possible. 

 

Financial Secretary Paul Chan gave these remarks at the Asia Private Equity Forum 2020 on January 15.





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Unite to fight virus

After the outbreak of the novel coronavirus, the Government has announced a series of prevention and control measures to reduce the risk of spread of the disease in the community. Compulsory quarantine, on the basis of a public health emergency (under Cap. 599 Prevention & Control of Disease Ordinance), is one of the measures in place. From February 8 onwards, all people entering Hong Kong from the Mainland, including Hong Kong residents, Mainland residents as well as other visitors, are required to be subject to mandatory quarantine for 14 days upon their arrival. Even if they are entering from other places, if they have visited the Mainland over the past 14 days, mandatory quarantine is still applicable upon their arrival. Anyone who violates the regulation may face a maximum penalty of imprisonment for six months and a fine of $25,000 upon conviction. We hope that the new measures could further reduce the flow of people between Hong Kong and the Mainland, reducing the risks for a spread of the disease in Hong Kong.

 

The Department of Health would gather evidence and conduct investigations into any contravention of quarantine orders before referring the cases to the Department of Justice for making prosecutorial decisions. Our prosecutors would make such decisions based on available evidence, applicable laws and the Prosecution Code. A prosecution would be commenced if there is sufficient admissible evidence for a reasonable prospect of conviction.

 

Minimising social contact in the community is another key measure to curb the spread of the virus. Hence, we only arranged for a certain number of colleagues, including government counsel, paralegals and supporting staff, to return to the office to handle urgent matters and provide basic public services. The reception counters of the Prosecutions Division and the Civil Division have remained open over the past few weeks to allow members of the public and the legal profession to serve court documents. The shroff office is also partly open for payment service. Details of the service hours are available from our press release.

 

There are colleagues from different divisions returning to the office to handle emergency works including attending urgent court hearings, processing court documents and attending urgent meetings. We have arranged for sufficient manpower to provide cleansing services at the office to safeguard the health of colleagues. For others, who are given laptops and electronic communication devices, are advised to work at home. I am heartened to learn that the Department of Justice is largely functioning well.

 

The Judiciary announced that court hearings would be generally adjourned in view of public health considerations but the courts would continue to handle urgent and essential hearings. Colleagues from the Department of Justice have been deployed to attend such hearings to deal with cases including bail applications and sentencing.

 

I am grateful to all my colleagues for remaining steadfast at their posts at this difficult time. I also urge those who are required to stay at home or other dwelling places for a 14-day quarantine to abide by the law and strictly comply with the quarantine orders. Violation of orders causes a spread of the disease and leads to criminal prosecution. Last but not the least, I appeal to all members of the public to join hands with the Government to do their best to prevent and curb the spread of COVID-19 by maintaining good personal hygiene, thereby ending the epidemic as soon as possible.

 

Secretary for Justice Teresa Cheng wrote this article and posted it on her blog on February 17.




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Harnessing Budget's strengths

The Financial Secretary just delivered the latest Budget on Wednesday. The Department of Justice would foster the policy initiatives relating to "Diversified Economy" and continue our ongoing works. The Inclusive Dispute Avoidance & Resolution Office (IDAR Office, email: idar@doj.gov.hk), which was set up in January last year, is to better co-ordinate and implement initiatives in the areas of dispute avoidance and resolution, thereby further consolidating our position as an international legal and dispute resolution services centre in the Asia-Pacific region.

 

The Department of Justice has always been actively striving for the presence of international dispute resolution bodies in Hong Kong in order to meet the upsurge in demand for legal and dispute resolution services arising from the Belt & Road Initiative and the Greater Bay Area Plan. Their presence in Hong Kong would also enhance our status as a leading centre for international legal and dispute resolution services. With the support of the Central People's Government, we are now exploring the possibility for the Asian-African Legal Consultative Organization (AALCO) to establish a regional centre for international commercial arbitration in Hong Kong.

 

Last year, the inter-sessional meetings of the Judgments Project of the Hague Conference on Private International Law were successfully concluded in Hong Kong. This invaluable experience has reinforced our determination in looking for decision-making meetings of international and intergovernmental organisations to be held in Hong Kong, including hosting the 59th Annual Session of AALCO and an intersessional meeting of UNCITRAL's Working Group III this year. High ranking government officials and legal experts from member states would take part in these meetings to discuss matters such as maritime law and cyber space law.

 

In addition, we are committed to strengthening Hong Kong's status as a regional capacity building centre which seeks to enhance legal infrastructure in the neighbouring regions and facilitate cross-border mobility and business activities. For instance, the Department of Justice organised the Investment Law & Investor-State Mediator Training Course for two consecutive years since 2018. World-renowned trainers were invited to share with the participants their experience in international investment law and investor-state mediation. We would be stepping up our efforts in organising capacity building courses in dispute resolution.

 

At the same time, the Department of Justice has reached an agreement with the Hague Academy of International Law, one of the world's leading academic institutes on international law, to support them in organising law courses in Hong Kong regularly in collaboration with the Asian Academy of International Law from this year. We anticipate this cooperation would provide Hong Kong and the neighbouring regions with high quality training for legal professionals, which helps further raise our international profile.

 

Looking ahead, colleagues in the Department of Justice would keep pursuing co-operation or partnership agreements with other jurisdictions and international organisations and host important events in Hong Kong, with a view to raising the international profile of Hong Kong in deal-making and dispute resolution through overseas capacity building and promotional activities.

 

Secretary for Justice Teresa Cheng wrote this article and posted it on her blog on March 1.




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Concerted efforts to fight the disease

Last month, I paid a visit to Yuen Long where I met a few families at Long Shin Estate. Apart from distributing face masks and anti-epidemic supplies to them, I was also given a better understanding of the impact brought by the epidemic on their daily lives. To show our concerted support in the fight against the disease, the Department of Justice (DoJ) Staff Club organised a volunteer activity on Sunday, which I joined with my fellow colleagues in offering our help to those in need.

 

To echo the Government's move to stay united, the DoJ Staff Club put forth a cash contribution campaign to buy anti-epidemic supplies for donation. The staff club volunteers acquired face masks and alcohol-based handrub in different ways - some were purchased through online shopping and some were bought at medicine stores. Last Sunday, I joined the volunteers in packing the anti-epidemic supplies, supermarket cash coupons and leaflets with health information. Our volunteers took the care packs in person to a non-governmental organisation a few days ago for passing to the elderly and low-income groups.

 

The staff club has been participating in volunteer services now and then. Given the overwhelming response this time, I am glad to know that more volunteer activities would be organised in the future. I would definitely be joining as many as I could. Through offering our efforts to help those in need, we hope to show our care for the less privileged in society and contribute to building a caring and inclusive community.

 

The public services of the DoJ, like all other government departments, have gradually resumed back to normal. I inspected the Justice Place on Monday to learn more about the infection control measures in place, such as the body temperature checking arrangement, provision of hand sanitisers and sanitising mats at building entrances.

 

We must remain vigilant as the epidemic is still severe, and more importantly, we also need to stand in solidarity in the fight against the disease.

 

Secretary for Justice Teresa Cheng wrote this article and posted it on her blog on March 5.