The Government will co-operate fully with the Independent Commission Against Corruption on the Harbour Fest investigation, Financial Secretary Henry Tang says. The Inquiry Panel Report has also been referred to the Police for further follow-up action as deemed necessary.

Speaking to the media in Harbin today, Mr Tang said there is a need to clear doubts on the incident, and the ICAC is conducting a criminal investigation into the incident.

In a paper submitted to the LegCo Financial Affairs Panel, Invest Hong Kong said both the audit report and the Inquiry Panel Report have been studied carefully.

The Government is working on a new circular for controlling officers on the kind of due process they should observe before committing government funds on specific projects, building on existing guidelines as appropriate.

More programmes on crisis communication and experience sharing sessions for senior officials will also be considered.

In addition, the Government has noted the points raised by the Inquiry Panel on the accounts of Harbour Fest and is taking these up with the American Chamber of Commerce. On receipt of the Public Accounts Committee report, the Government will also consider whether any further action will need to be taken.