Ip Evades Stamp Duty Buying HK$51.8M Flat

Ip's holding company to buy flat is called Magic Fiddle

Executive Council Convenor and chairperson of the New People's Party Regina Ip Lau Suk-yee has recently made a purchase.

It's not a Burberry handbag, but it's blooming big -- a flat called Bowen Place on Bowen Road for a whopping HK$51.8 million (US$6.62 million).

But what's interesting is the way Ip went about buying the place by avoiding paying the 15 percent stamp duty which would have been around HK$7.66 million

Bowen Place on Bowen Road in Mid-Levels

She set up a company called Magic Fiddle Limited to buy out Allway Holdings Limited, which owned the flat in Mid-Levels.

Instead Ip only paid 0.2 percent in taxes, or HK$103,600.

Ip explained the flat was for her daughter, and that she had wanted to purchase it as a first-time homeowner, but that the seller wanted to do the transaction through a company transfer, or buying out the shares.

The owner of Allway Holdings was Michelle Cheng, who is the owner and CEO of Occasions Asia Pacific, a public relations company. Ip added while Occasions had helped her with organising an event before, she claimed she did not know Cheng personally.

In 2018 local policy think tank Liber Research Community found the Hong Kong government had lost at least HK$9.4 billion since 2010 because buyers evaded paying stamp duties by buying real estate through share transfers.

Ip with daughter Cynthia in 2008

According to the study of the 126 transactions, 90 cases involved foreign buyers, with some being high-level executives of mainland property companies, ex-members of the Chinese People's Political Consultative Conference, and local celebrities.

One would have thought after a study like that the government would want to close that loophole in a bid to build up its coffers, but it still hasn't done so five years on.

After Ip's purchase was reported in HK01, she defended it, saying the transaction was above board, and that she did nothing wrong.

"A lot of the comments are unfair and really quite ignorant... I think it is quite unfair to suggest that [property] purchased through a company is tax evasion... It is the buyer's choice, in a way which is the most convenient," she said.

Being rich has its benefits, including being even richer.

Lam Missing from CPPCC List

There were rumours Lam would be named to the CPPCC

Even though former Hong Kong chief executive Carrie Lam Cheng Yuet-ngor believed being a workaholic ensures success, she missed the cut in being appointed to China's highest advisory body.

Tung and Leung elevated to the state level

There were expectations that Lam would be named vice-chairwoman of the Chinese People's Consultative Conference, as the meeting to discuss new members is being held in Beijing from Sunday for three days, but her name was not on the list.

Maybe it's because of the technical issue of her not being a member of the CPPCC. She needs to be recommended to the committee and vetted before she can be approved to be on the list.

Other Hongkongers on the list are former World Health Organisation director-general Margaret Chan Fung Fu-chun, tycoon Victor Li Tzar-kuoi, and chairperson of the board of West Kowloon Henry Tang Ying-yen, who was a former CE candidate.

Meanwhile Lam's two predecessors, Tung Chee-hwa and Leung Chun-ying have both been promoted to state-leader roles as CPPCC vice-chairmen.

Tang was appointed to the CPPCC as a member

One would think Beijing would reward her somehow for being stuck between a rock and a hard place during the 2019 protests followed by the Covid-19 pandemic, having to adhere to Beijing's policies.

But nope. Or maybe she wants nothing to do with Beijing anymore?

James Tien Quits Liberal Party he Founded

Tien says there is no future for political parties in Hong Kong

The political space for moderates has closed shut with James Tien Pei-chun, resigning from the pro-establishment Liberal Party he founded more than 30 years ago.

He along with two others, Selina Chow Liang Shuk-yee and Miriam Lau Kin-yee resigned from the party as honorary chairs after learning on August 10 that the party leadership, led by Tommy Cheung Yu-yan, planned to abolish the position.

The honorary chair position was created to honour past leaders for their contributions.

Chow, Tien and Lau resigned from the party

But now they are not wanted and pre-empted being kicked out by showing themselves out the door.

Tien said pro-Beijing politicians are trying to prove their loyalty to Beijing even though it's not even asked, by distancing themselves from anyone deemed controversial.

"This is something they think they must do to please Beijing, a way they work in the hope of retaining their jobs in public office," he said.

With Beijing completely overhauling Hong Kong's electoral system, Tien says the space for political discussion has also shrunk.

"There is no future in all political parties. Beijing's electoral overhaul is diminishing the role of parties and eliminating differences in opinion," he said.

The Liberal Party met on August 10 and members voted unanimously to abolish the position. Cheung later issued a statement regretting that the trio had resigned and said the leadership was "trying to persuade them to stay".

Cheung is the chairman of the Liberal Party

An honorary chair for 12 years, Tien said this was yet another example of how pro-Beijing politicians are trying to please Beijing, even though they probably did not receive any directives from the liaison office.

"I don't think it was an instruction by the liaison office to get rid of iconic politicians who had been outspoken," he said.

However, not that he has no political affiliation, Tien feels more free to speak out.

He believes the riff between him, Chow and Lau and Cheung began during the 2019 extradition protests. 

They had urged then chief executive Carrie Lam Cheng Yuet-ngor to set up an independent investigative committee to create "genuine dialogue with peaceful protesters". But their suggestion was criticised by some party members who believed they were siding with "black-clad protesters who damaged the rule of law".

Tien seems to be a man who speaks his mind and stands by his decisions.

He was a member of the Executive Council for then chief executive Tung Chee-hwa. When half a million people came out to protest against Article 23, Tien quit Exco. 

In 2014, he faced expulsion from Beijing's top advisory body, the Chinese People's Consultative Conference, after calling on then leader Leung Chun-ying to step down over an impasse on political reform.

In 2014 Tien called on Leung to resign

Two years later he claimed Beijing's liaison office had instructed him to discourage party colleague Ken Chow Wing-kan from running in the Legislative Council election.

Then in 2017, the Liberal Party was divided between supporting two candidates in the chief executive race. Tien and others supported former financial secretary John Tsang Chun-wah, while Cheung and his cohorts rallied behind the eventual winner, Lam.

In addition, unlike many pro-Beijing politicians, Tien objected to the national security law in 2020, saying the legislation should only be used sparingly.

Hong Kong is going to miss people like Tien, giving the voice of reason among the crowd of pro-Beijing patriots.

From now on opinions are going to be more extreme and irrational... is this what Beijing wants for the city? Hardly seems like the best way to govern Hong Kong...

CY Leung Wants to Cultivate Young Patriots

Leung wants to instil patriotism in university students, media

Former chief executive Leung Chun-ying continues to make himself newsworthy, this time saying patriotic groups need to be stronger in universities and the media.

He said even though Hong Kong has the national security law, and what he says is an improved electoral system, patriots need to continue working hard and suggested patriotism needed to be instilled among young people.

"We have to build up the ideological and organising powers of patriotic groups, those who govern have to break barriers with these groups, make them stronger. This includes the grooming of such political groups in universities," said Leung, who is vice Chairman of the Chinese People's Political Consultative Conference.

2015 football match HKers booed China anthem

"In education, in media, we have to raise the ability of patriotic groups in these important aspects in society. Of course we also need to form a consensus and widely promote the One Country, Two Systems principle."

He added it was a basic requirement that Hong Kong students become proud Chinese patriots.

To prove his point, he cited the example in 2015 when some Hong Kong students booed the Chinese national anthem during a football World Cup qualifying group match between China and Hong Kong at Chinese University.

Leung said he met with the university's management over the matter, but nothing was done.

Perhaps it was after that incident that he made sure every other vice chancellor was replaced with someone with a pro-Beijing bent?

Sounds like someone is still sore about the incident, or has been told to bring it up.

Leung Chai-yan has openly rebelled her parents

Either way demanding that young people become proud Chinese will be harder these days if he hasn't noticed what has happened in the last few years. 

Perhaps his fixation on indoctrinating young people comes from his inability to control his children, in particular daughter Leung Chai-yan who has had public spats with him?

Doesn't he know by now that the more you force kids to do something, the more they want to do the opposite?