Back to business: Secretary for the Environment, Transport & Works Dr Sarah Liao says KCRC Chief Executive Samuel Lai and Chairman Michael Tien have agreed to remain in their posts.

Chief Executive Donald Tsang says KCRC Chairman Michael Tien has agreed to withdraw his resignation, adding there will be a clearer differentiation of duties between the corporation's chairman and chief executive.

Speaking to the press today, Mr Tsang said he had received a report from the KCRC managing board resolving the disagreement between its chairman and chief executive.

He supports the way in which the board decided to resolve the dispute, adding Mr Tien and acting chief executive Samuel Lai have promised to perform their duties in the best interest of Hong Kong.

Accountability essential

The Chief Executive said he is always in support of a strong sense of accountability and a high degree of transparency in a public corporation such as the KCRC. "In this regards, the chairman receives my support," he said.

Mr Tsang said some personnel and disciplinary issues have been discovered during the course of resolving the problem. He has asked the managing board to look into the matter as soon as possible.

Noting there are still many challenges facing the corporation, Mr Tsang said the current arrangement is the best option for the KCRC and Hong Kong.

Secretary for the Environment, Transport & Works Dr Sarah Liao said she is pleased that Mr Tien and Mr Lai have accepted the board's proposal and agreed to remain in their posts.

Differentiation of duties

She said there will be a new set of guidelines defining the duties of the chairman and chief executive.

"The chairman will be responsible for the board's business while the chief executive will take care of the company's daily operation, including public relations issues. The chief executive will be the spokesman for the firm's normal issues."

She said Mr Tien and Mr Lai understand the importance of maintaining efficient KCRC services. She is confident  they will work together and communicate with each other effectively.

Dr Liao called on KCRC employees to continue working hard and provide efficient and safe railway service. 

Co-operation continues

Mr Tien said the incident will not affect the professional co-operation between himself and Mr Lai, adding the incident gives the corporation a chance to clearly define the jobs of the two concerned posts.

Mr Lai thanked the board for coming up with a proposal to resolve the disputes, adding all KCRC staff support a strong sense of accountability and a high degree of transparency.

Praising Mr Tien's devotion to the job, Mr Lai said KCRC staff will fully support his leadership.