The Audit Commission's credibility will not be affected by the Independent Committee of Inquiry's report on the Sai Wan Ho Development, Director of Audit Benjamin Tang says.

In a statement, Mr Tang said audit reports are forward-looking, focusing on the work and systems, not individuals.

He said there are similarities in the recommendations of the two reports, from the Independent Committee of Inquiry and the Audit Commission. For example, both parties have recommended:

* specifying explicitly in the lease of a site whether a public transport terminus would be included in the gross floor area, or GFA, calculation, to increase the transparency in land sale; and

* specifying the maximum GFA in outline zoning plans and leases as a control measure.

As regards the "financial implications" mentioned in the audit report, this was an estimated amount, in money terms, of the GFA concerned, and was derived from the Lands Department's reserve-price assessment made before the tender award. 

Different perspectives

During the Public Accounts Committee's public hearings, the Director of Audit also clarified this viewpoint. The PAC believed the Building Authority's decision to exclude the public transport terminus from the GFA calculation of the site had negative financial implications. The Independent Committee of Inquiry was looking at the "financial implications" from a different perspective.

He said audit observations are based on strong evidence, and audit recommendations are constructive and forward-looking. Most of the recommendations are accepted by the audited bodies and the PAC. Both the public and the Administration attach great importance and value to the PAC's work.

Mr Tang said the Audit Commission will continue to uphold professionalism and impartiality in carrying out its mission of providing quality public-sector auditing services to Hong Kong.