The Financial Secretary, Mr Paul Chan, today (October 14) continued his visit to Nanjing with a delegation, meeting with the leadership of Jiangsu Province and visiting advanced manufacturing and pharmaceutical enterprises.

     Mr Chan had a breakfast meeting with member of the Standing Committee of the CPC Jiangsu Provincial Committee and Executive Vice Governor of Jiangsu Province, Mr Zhang Wenbing, this morning. They exchanged views on deepening economic and trade co-operation between Jiangsu and Hong Kong, strengthening collaboration in innovation and technology (I&T), and supporting enterprises in their international expansion. Mr Chan said that the visit had strengthened the delegation's ties with the Jiangsu Provincial Government, universities, I&T institutions and enterprises. Hong Kong will actively follow up on various co-operation projects to deliver more concrete results in Jiangsu-Hong Kong co-operation.

     The delegation then visited a Jiangsu-based enterprise specialising in energy and energy-saving equipment to learn about its technology research and development (R&D), commercialisation of research outcomes and business development. With high-efficiency heat transfer technology at its core, the enterprise develops and manufactures key equipment for sectors such as clean energy and chemicals. Its technologies are also applied to industrial waste heat recovery and efficient energy use, helping industries conserve energy, reduce carbon emissions and pursue green transformation.

     The delegation also visited a pharmaceutical enterprise to learn about its drug R&D, production and global marketing operations. They met with the enterprise's management to learn about its future development plans, including the use of artificial intelligence to enhance drug R&D efficiency, the development of cutting-edge therapies, and strategies for expanding its international business.

     During the visits to the two enterprises, Mr Chan said that I&T is a key area of co-operation between Jiangsu and Hong Kong. The two places have ample scope for collaboration in technology R&D, the commercialisation of research outcomes and international market expansion. They can further promote two-way investment and personnel exchanges, and work together to foster deeper integration of technological and industrial innovation. On innovative drugs, enterprises can leverage Hong Kong's strengths in drug R&D and the opportunities arising from reforms of its drug approval regime to accelerate the development, application and market expansion of innovative drugs.

     He encouraged the two enterprises to make good use of Hong Kong's internationally connected capital markets, experience in aligning with the highest international standards, high-quality professional services, and strengths as a hub for international financial institutions and talent, to scale up their businesses and bring more competitive technologies, products and solutions to overseas markets.

     Mr Chan and the delegation concluded their visit to Nanjing this afternoon and will return to Hong Kong in the early evening.

     Following is a question by the Hon Nixie Lam and a reply by the Secretary for Financial Services and the Treasury, Mr Christopher Hui, in the Legislative Council today (October 14):

Question:

     It has been reported that, over the years, unlawful organisations have operated illegal gambling activities through online platforms and used concealed channels, such as stooge accounts, to handle gambling funds. In this connection, will the Government inform this Council:

(1) in the light of the distinctive nature of illegal online gambling, under which betting funds are transferred through online channels, of the measures the authorities have put in place to support financial institutions in introducing smart technology systems that can automatically detect and proactively intercept transactions relating to illegal betting, and issue risk alerts to members of the public in a timely manner;

(2) of the number of persons arrested in the past three years for money laundering activities involving the use of stooge accounts to handle money from illegal betting, and among such cases, the total number of those in which prosecutions were successful, with a breakdown by type of stooge account (e.g. bank accounts and electronic wallet accounts); and

(3) as it is learnt that criminal syndicates commonly disseminate information on illegal betting through social media, messaging applications and key opinion leaders, whether the authorities will, with reference to overseas experience, enact legislation requiring online platforms to discharge statutory duties to screen, remove and report information relating to illegal betting, and empowering law enforcement agencies to mandate platforms to remove unlawful content, ban offending accounts and block traffic, while at the same time formulating a penalty mechanism for platforms, with a view to combating the promotion of illegal gambling at source; if so, of the specific legislative approach and timetable; if not, the reasons for that?

Reply:

President,

     Illegal gambling is an indictable offence under the Gambling Ordinance (Cap. 148). Pursuant to the Organized and Serious Crimes Ordinance (Cap. 455) (OSCO), any person who knows or suspects that any property is connected with the proceeds of an indictable offence, including illegal gambling, is required to promptly file a suspicious transaction report (STR) with the Joint Financial Intelligence Unit (JFIU).

     Having consulted the Home and Youth Affairs Bureau, the Security Bureau, the Hong Kong Monetary Authority (HKMA) and the Securities and Futures Commission (SFC), my reply to the three parts of the question is as follows:

(1) Under the existing regulatory framework, various regulated entities (including banks and stored value facility (SVF) licensees regulated by the HKMA, as well as licensed corporations and licensed virtual asset trading platforms regulated by the SFC) must establish effective and appropriate anti-money laundering and counter-financing of terrorism (AML/CFT) controls, covering customer due diligence, transaction monitoring, and suspicious transaction reporting.

     Regarding transaction monitoring, regulated entities are required to establish ongoing monitoring and transaction monitoring systems that are commensurate with the nature, size and risk profile of their businesses to promptly identify transactions inconsistent with a client's background or financial profile. Depending on the level of risk identified, regulated entities should adopt appropriate measures, such as conducting stricter customer due diligence, verifying client instructions, restricting or suspending transactions, and refusing to execute transactions. In addition, after filing STRs, regulated entities have to co-operate with law enforcement agencies on their follow-up actions as appropriate, including restricting or suspending the operation of relevant accounts, and restraining or freezing relevant assets, in accordance with the directions of law enforcement agencies or court orders.

     The HKMA and the SFC have respectively issued detailed guidelines pursuant to the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Cap. 615), setting out the AML/CFT controls that various regulated entities should implement to combat money laundering and terrorist financing (ML/TF) activities.

     To assist the industry in more promptly and accurately identifying and mitigating ML/TF risks, the HKMA and the SFC will continue to engage with the industry and promote the responsible use of technologies such as artificial intelligence. Specifically, the HKMA has organised various industry sharing sessions to encourage banks and SVF licensees to enhance their application of new and emerging financial technologies and assist them in applying artificial intelligence within their transaction monitoring systems, thereby enhancing their ability to detect illicit financial activities. Meanwhile, in November 2024, the SFC published the Report on the Adoption of Regtech for Anti-Money Laundering and Counter-Financing of Terrorism to share practical use cases and good practices adopted by licensed corporations in key AML (Anti-Money Laundering) processes such as customer due diligence, transaction monitoring, and management information reporting. The aim is to encourage and assist the industry in adopting Regtech (including artificial intelligence) more widely in a responsible manner according to the nature, scale and risk profile of their businesses, thereby enhancing the effectiveness of AML efforts.

     In respect of intelligence sharing, the HKMA and the SFC have maintained close co-operation with the Hong Kong Police Force (HKPF) and the industry to share intelligence in a timely manner, including the latest ML (Money Laundering) typologies and modus operandi, related fund flows, the use of stooge accounts, and red flag indicators of suspicious transactions, with a view to assisting regulated entities in promptly updating their transaction monitoring scenarios and risk-mitigating measures. In addition, the Fraud and Money Laundering Intelligence Taskforce, an intelligence-sharing platform comprising the HKPF, the HKMA, banks, and SVF licensees, has circulated multiple alerts to share emerging threats and the latest modus operandi regarding illegal gambling with the industry.

(2) Section 25 of the OSCO stipulates that a person commits an offence (i.e. ML) if they deal with any property that they know or have reasonable grounds to believe represents the proceeds of an indictable offense, including illegal gambling. Apart from using stooge accounts to launder money, selling or lending bank accounts to be used as stooge accounts may also constitute the aforementioned criminal offence. Over the past three years, statistics on the numbers of persons arrested, prosecuted and convicted for ML involving stooge accounts are set out in the Annex.

(3) As a matter of policy, the Government does not encourage gambling. To address the possible problems brought by gambling, the Government adopts a multi-pronged strategy including law enforcement against illegal gambling activities, public education on the harms of gambling addiction, provision of counselling and support services to people in need, and regulation over gambling activities through legislation. The HKPF has been closely monitoring the trend of illegal gambling crimes, conducting cyber patrols and gathering intelligence through different channels, and taking appropriate intelligence-led enforcement actions against these illegal activities. Besides, the HYAB established the Ping Wo Fund (PWF) in 2003 to finance both preventive and remedial measures to address gambling-related problems.

     To address problems arising from illegal online gambling, the PWF has accorded priority to providing funding support for initiatives relating to the prevention of online gambling activities since 2020. The PWF has been disseminating anti-gambling messages to the public through various channels, and will continue to remind the public that participating in illegal gambling (such as betting with an illegal bookmaker) is an offence under the Gambling Ordinance, regardless of whether it takes place online or offline, such as placing bets with an illegal bookmaker through a simple tap on mobile phone. Upon conviction, an offender is liable to a maximum penalty of a $50,000 fine and imprisonment for nine months. Furthermore, under the Gambling Ordinance, no person shall, whether online or offline, knowingly promote or facilitate bookmaking or betting with a bookmaker. Upon conviction, an offender is liable to a maximum penalty of a $5 million fine and imprisonment for seven years. Through various publicity and education programmes, we will continue to enhance public awareness, particularly among young people, on the harms of gambling addiction and the legal consequences of participating in illegal gambling, with a view to further strengthening public awareness of anti-gambling.

     Thank you, President.

     Following is a question by the Hon Chris Ip and a reply by the Secretary for Transport and Logistics, Ms Mable Chan, in the Legislative Council today (October 14):

Question:

     Some residents in the New Territories have complained that it is difficult to hire New Territories taxis (commonly known as "green taxis") to travel to destinations in the New Territories during peak hours, and that when they attempt to take urban taxis (commonly known as "red taxis") plying for hire at taxi stands, they have repeatedly been subjected to refusal of hire. In this connection, will the Government inform this Council:
 
(1) of the number of complaints received by the authorities and the number of drivers with points incurred since the implementation of the Taxi-Driver-Offence Points system, with a breakdown by the nature of the offences; the number of drivers who have been disqualified from driving a taxi due to accumulated points;
 
(2) as there are views pointing out that drivers of red taxis plying for hire at public transport interchanges provided with both New Territories and urban taxi stands generally expect to pick up passengers travelling to urban areas, whether the authorities will, by drawing on the operational model of cross-harbour taxi stands, set up dedicated taxi stands at some interchanges for passengers bound for urban areas; if so, of the details; if not, the reasons for that; and
 
(3) as there are views that point-to-point transport demand in the New Territories will continue to increase in the future, whether the Government will, apart from adjusting the number of ride-hailing vehicle licences, review the number of taxi licences in a timely manner or enhance the existing service arrangements for urban and New Territories taxis; if so, of the details; if not, the reasons for that?
 
Reply:

President,

     The Government has all along endeavoured to enhance taxi service quality and improve the trade's image. Over the past few years, the Government has implemented a series of measures, including introducing taxi fleets, enhancing the taxi written test, implementing the Taxi-Driver-Offence Points (TDOP) system and the two-tier penalty system, as well as requiring all taxi drivers to accept electronic payments. In addition, Journey Recording Systems, comprising the functions of a dash camera, an in-vehicle recording system and a global navigation satellite system, will be gradually installed in taxi compartments starting from this year, with a view to enhancing passenger experience and deterring malpractices of taxi drivers.

     My reply to the Hon Ip's question is as follows –
 
(1) The TDOP system has officially come into effect on September 22, 2024, covering 11 relatively serious taxi-driver-related offences under the legislation. A taxi driver who is convicted of any of these offences or is liable to pay a fixed penalty will incur the corresponding points. In accordance with the law, a taxi driver must not, without reasonable excuse, willfully refuse or neglect to accept a hire, nor refuse or neglect to drive the taxi to any place indicated by the hirer (refusing hire). The Police has all along been handling cases involving refusing hire seriously, and will seek advice from the Department of Justice and initiate prosecution if there is sufficient evidence. Any person who commits refusing hire will incur with the maximum of 10 points under the TDOP system.
 
     As of October 2, 2026, a total of 229 taxi drivers had incurred points, of which 125 cases were for refusing hire. Out of all the 229 drivers with points incurred, three drivers have been disqualified from driving a taxi (for a period of three months) owing to an incurrence of 15 points or more. Breakdown is set out at Annex I.
 
     In addition, from the implementation of the TDOP system to August 2026, the Transport Department (TD) had received a total of 5 944 taxi-driver-related complaints, of which 605 cases involved refusing hire. Breakdown is set out at Annex II. Upon receipt of complaints, TD will conduct investigations and refer them to the law enforcement agency for follow-up depending on the nature of the cases. TD will also issue letters to the taxi owners or drivers concerned to request explanations, reminding them to comply with the legislation and pay attention to their service attitude, with a view to keeping up service quality.
 
(2) In accordance with the law, New Territories (NT) taxis have designated operating areas, which mainly cover the north-eastern NT (i.e. north of Sha Tin) and the north-western NT (i.e. north of Tsuen Wan), and their fares are lower than those of urban taxis. On the other hand, urban taxis can pick up passengers and take them anywhere (except Tung Chung Road and roads in South Lantau).

     TD has set up urban and NT taxi stands at locations with concentrated passenger demand, such as the Hong Kong International Airport and various land boundary control points, with a view to facilitating the diversion of passengers heading for different areas. At present, the operation is generally smooth. However, I must emphasise that a taxi driver must not refuse a hire without reasonable excuse according to the law. In other words, drivers at urban taxi stands are also required to proceed to any destination indicated by the hirers, including the NT. Setting up designated taxi stands for specific destinations may not cater for the diverse point-to-point transportation demand of passengers and may cause confusion (especially for tourists). Therefore, we consider that maintaining the current simple and clear arrangement is more appropriate and preferable.
 
(3) The Government has been upholding the public transport-oriented policy with railway as the backbone, complemented by well-networked mass transport modes (such as franchised buses and the Light Rail) to provide efficient services for the public. On the other hand, public light buses and taxis play a supplementary role, with the latter providing personalised point-to-point services, currently accounting for about 6 per cent of the overall public transport patronage.

     At present, there are 18 163 registered taxis in Hong Kong (with NT taxis accounting for 2 838). With the regional development of the NT, there is a steady demand for taxi services in many parts of the region. It is therefore necessary to maintain the arrangement of NT taxis to ensure adequate services available to passengers travelling between districts within the NT as well as residents in rural and remote areas of the NT. In the future, we will continue to optimise the operational arrangements for NT taxis. Firstly, in response to changes in demand, new development areas (including the Northern Metropolis), and the commencement of major infrastructure facilities, we will conduct timely reviews on the permitted operating areas of NT taxis. For example, operating areas of NT taxis have been expanded to cover the Hong Kong-Zhuhai-Macao Bridge Hong Kong Port and the Hong Kong Port Area of the recently commissioned Huanggang Port. Last year, as part of the efforts to optimise airport operations, the Government also permitted NT taxis to operate on the newly designated pre-booked pick-up area and associated roads.

     Furthermore, to better understand passengers' demand for taxi services and the operating status of the taxi trade, TD conducts annual surveys on the overall taxi service level. According to the survey conducted in early 2026, the overall supply of taxis has remained largely stable in recent years. We will continue to closely monitor the situation and maintain communication with the taxi trade, so to ensure the stable and orderly provision of taxi services and the healthy development of the trade.

     Meanwhile, to enhance personalised point-to-point public transport services, the Government has introduced a regulatory regime for ride-hailing services through legislation, thereby providing passengers with more safe and compliant transport options. We will also require licensed platforms to provide taxi-hailing services to facilitate commuters. When licensed ride-hailing platforms commence operation in the future, we will have a full understanding of the platforms' operational data, closely monitor market developments, and take holistic account of the operating environment of taxis, in the course of conducting a dynamic assessment of demand and supply.

     The Government will continue to promote the complementary strengths and healthy competition between taxis and ride-hailing vehicles on the premise of maintaining the efficient operation of the public transport system, with a view to fostering the long-term healthy development of the personalised point-to-point transport service industry.

     Thank you, President.

     Following is a question by the Hon Chan Pok-chi and a written reply by the Secretary for Environment and Ecology, Mr Tse Chin-wan, in the Legislative Council today (October 14):

Question:

     Rodent infestation has persisted in Hong Kong in recent years, affecting the living environment of the public and public health. In this connection, will the Government inform this Council:

(1) of the number of public complaints received by the Food and Environmental Hygiene Department (FEHD) about illegal disposal of food waste and refuse by restaurants in the 18 districts across the territory over the past year; in view of the risk of rodent infestation posed by the disposal of food waste by restaurants, of the specific plans put in place by the FEHD for combating the problem, cleansing and enforcement, so as to eliminate the food sources of rodents;

(2) of the frequency and implementation details of the FEHD's current inspections and blitz checks to monitor outsourced rodent control contractors; how to prevent contractors from falsely reporting the effectiveness of rodent control work through improper handling of trapped rodents; whether it will further improve the deployment of baits and bait boxes, including different bait options such as heated sweet potatoes and other suitable food items, thereby enhancing the actual effectiveness of rodent trapping and control;

(3) of the total number of participants that have signed the Anti-rodent Charter in Hong Kong to date; of the regular monitoring and effectiveness review mechanisms put in place by the FEHD for the participants to ensure their due performance of rodent prevention and control commitments; in view of the recurrent rodent infestation in Hong Kong, of the regular cross-departmental long-term plans put in place by the FEHD to eliminate at source the three fundamental survival conditions of rodents, namely food, harbourages and dispersal routes, thereby sustaining the overall environmental hygiene standards across the territory;

(4) given that the Chief Executive's 2026 Policy Address has proposed to enhance 1823 services, whether the FEHD will make use of the rodent complaint data to better identify rodent blackspots and adjust prevention and control resources; if so, of the details and timetable; if not, the reasons for that; and

(5) of the coverage, trial progress and effectiveness data of the FEHD's current application of various technological rodent control tools in various districts; whether it will fully expand the application of technologies such as smart monitoring and digitalised rodent infestation assessment, establish a regular data monitoring and precise enforcement mechanism to replace the traditional approach of relying solely on manual inspections, and formulate long-term strategies and performance indicators for tech-driven rodent control?

Reply:

President,

     Pest and rodent control is an important and ongoing task of the Government. The Food and Environmental Hygiene Department (FEHD) has all along been adopting targeted measures to eliminate the fundamental survival conditions of rodents, namely food, harbourage and passages. Regarding the questions from the Hon Chan Pok-chi, the reply is as follows:

(1) In the past year (i.e. from October 2025 to September 2026), the FEHD received a total of 654 complaints concerning the illegal disposal of food waste and refuse by restaurants.

     The FEHD attaches great importance to the environmental hygiene problems (including rodent infestation) caused by the illegal disposal of food waste and refuse by restaurants. It has therefore been conducting regular inspections of licensed or permitted food premises across the territory while taking stringent enforcement action against non-compliance. For premises with repeated contraventions, the FEHD also conducts surprise operations to step up enforcement.

     In recent years, the FEHD has implemented a trial scheme to regulate disposal arrangement of waste generated by food premises, which allows licensed food premises, subject to specific conditions, to place large-size covered waste containers in the adjoining rear lanes to temporarily store refuse awaiting collection, with a view to improving the environmental hygiene of the rear lanes concerned and thereby effectively prevent rodent infestation. At present, 192 rear lanes across the territory have been incorporated into the scheme.

     In response to recent incidents involving pest and rodent infestation and food hygiene in food premises, the FEHD launched a two-week special inspection and enforcement operation codenamed "Operation Skynet" from September 30. In addition to stepping up inspections of the environmental hygiene and food handling conditions of food premises, the operation also focuses on examining whether premises have implemented prevention and control at source, including the handling of refuse and food waste, food storage, rodent prevention facilities, hygiene in back-of-house and storage areas, as well as environmental factors that may facilitate the ingress and egress of rodents or pests. Based on the inspection results, the FEHD will take enforcement action against the operators, put forward specific improvement requirements, and conduct follow-up inspections on key or problematic premises to ensure that operators continuously implement the improvement measures. As at October 6, the FEHD has inspected 715 supermarkets, 123 food premises and 114 other food premises, issued 82 Notices of Elimination of Vermin, 38 Notices of Requirement to Cleanse and Repair Food Premises and one warning, and instituted 25 prosecutions.

(2) The FEHD has established a stringent mechanism for monitoring its outsourced pest control contractors. In addition to conducting regular inspections, the FEHD reviews and approves operational plans submitted by contractors and, based on a risk-based approach, carries out surprise inspections and spot checks having regard to complaints received, inspection findings, contractors' performance and the actual circumstances of individual locations. The FEHD also verifies contractors' work records to comprehensively monitor whether rodent control operations are carried out in accordance with contractual requirements and operational guidelines.

     To further strengthen the monitoring of contractors' handling of captured rodents and their work records, the FEHD has implemented enhancement measures, requiring contractors to specify in their work plans the designated work location with greater detail, strengthening trap management measures to ensure the accuracy of rodent control reports, and maintaining photographic records with time and geolocation stamps. In addition, the FEHD requires contractors to ensure that all frontline workers and supervisory staff are fully familiar with and comply with the relevant operational guidelines, and to provide professional training for frontline pest control staff.

     In respect of the use of baits for rodent trapping, the FEHD tests different food baits at individual locations according to the actual circumstances and deploys suitable mixed baits, as rodents' food preferences may be affected by environmental factors, human activity patterns and rodent behaviour. Frontline staff also regularly inspects and replaces the baits to ensure their effectiveness in attracting rodents.

     Apart from conventional rodent cages, the FEHD also deploys a variety of trapping devices, having regard to site conditions and the level of rodent infestation. These include Ekomille in public markets and refuse collection points, as well as glue traps placed during nighttime operations.

(3) Effective rodent control requires the concerted efforts of stakeholders and members of the public, in maintaining good hygiene habits and proactively adopt rodent prevention measures. The Environment and Ecology Bureau coordinates the Cross-sectoral Territory-wide Anti-rodent Action, consolidating strengths from the government departments and various sectors of the community, including the property management sector, market stall operators and hawkers, the catering industry, the construction industry and the pest control trade, for a cross-sectoral, multidisciplinary and community-wide approach to rodent prevention and control. The Under Secretary for Environment and Ecology also chairs the interdepartmental Pest control Steering Committee, which regularly reviews measures on rodent prevention and control implemented across various departments and organisations, formulates strategies and drives departments to take the lead in strengthening rodent prevention and control efforts within the sectors under their purview.

     The FEHD has also invited property management companies of residential premises and shopping centres, owners' corporations and residents' organisations to sign the Anti-rodent Charter, and to assign anti-rodent liaison ambassadors to coordinate anti-rodent efforts within their premises. The FEHD will conduct on-site inspections and provide targeted rodent prevention and control advice. The Charter was launched at the end of 2024. To date, about 840 residential premises and about 130 shopping centres signed the Charter, covering about 780 000 households and about 8 400 shops respectively.

(4) and (5) The FEHD has fully adopted thermal imaging cameras with AI technology to conduct Rodent Activity Survey (RAS) and generate Rodent Absence Rate (RAR) to monitor the rodent infestation situation in districts. At present, the scope of the RAS covers public places under the FEHD, public housing estates under the Housing Department, parks managed by the Leisure and Cultural Services Department, rental housing estates under the Hong Kong Housing Society, fixed-pitch hawker areas and village house areas.

     The FEHD adopts a data-driven and risk-based rodent prevention and control strategy, analysing data including from the RAR, frontline inspections, public complaints, actual environmental conditions and the views of local stakeholders, to comprehensively assess the rodent infestation risks of different locations. Resources are deployed, on a risk-based approach, to locations with higher rodent infestation risks, to continuously conduct targeted rodent control operations, with a view to optimising resource utilisation and enhancing the overall effectiveness of rodent control work. Should private premises be found to be affected by rodent infestation, the FEHD will proactively conduct inspections and provide professional technical advice. Where necessary, Notice of Elimination of Vermin will be issued to the responsible persons, requiring them to properly handle the rodent infestation within a specified period.

     The Government will continue to monitor the rodent infestation situation in Hong Kong and encourage more stakeholders to participate in rodent prevention and control, with a view to jointly building a rodent-free community.