The Housing Authority will launch a Supervisory Group on Divestment to help advise and monitor the implementation of its plan to divest its retail and car-parking facilities.

The group will be chaired by Walter Chan, who also heads the authority's Commercial Properties Committee. Other members are Siu Yuen-sheung, Ho Sai-chu, Cheng Yan-kee, Chan Kam-lam, Sin Chung-kai, Eddie Ng and Raymond Lai.

The authority will sell the retail and car-parking facilities to a new company which will make an initial public offering on the HK Stock Exchange tentatively in 2004/05.

Meanwhile, the authority has set up a Standing Audit Sub-Committee under the Strategic Planning Committee to consider reports on internal audits performed by the Housing Department as well as external audit reports prepared by the Director of Audit.

The sub-committee consists of Chairman Chan Bing-woon, Eddie Ng, Professor Lee Chack-fan and Andy Lam. Chosen for their expertise in finance, construction and audit, their appointments will run until next August.

It is chaired by a non-official member to highlight its independence. At present, independent teams reporting directly to the Director of Housing carry out internal audits in the department.