Property firm ISS insists it has ‘admin role’, but Hong Kong watchdog disagrees


Hong Kong’s property management watchdog has vowed to rigorously follow up on any suspected breaches over the Wang Fuk Court fire that has claimed 159 lives, even as the estate manager described its role as confined to providing administrative support and managing day-to-day security services.

In reply to the Post’s queries, the Property Management Services Authority said on Wednesday that under its Code of Conduct, licensed managers were required to follow up in a timely manner with the engaged fire service installation contractor and to notify the director of fire services at the “soonest possible [time] or in advance” if safety installations had been shut down for repair.

Earlier in the day, Commissioner of Police Joe Chow Yat-ming revealed that six more people had been arrested in connection with the Tai Po inferno, taking the total to 21.

Contractors responsible for the fire alarm system at the eight-block estate, which had been undergoing extensive renovations, were the latest to be detained.

Chow said the six were suspected to have falsely declared to the Fire Services Department that they would not deactivate the fire alarm system during renovation work.

The department earlier said the alarm system did not sound when the blaze broke out on Wednesday last week and swept through seven residential blocks.

On Monday, the regulator said Wang Fuk Court’s property management company, ISS EastPoint, was no different from other licensed firms.

It said such companies must remind and assist owners in fulfilling their responsibilities, including the proper management and maintenance of fire service installations in common areas of the property, to prevent casualties or loss arising from fire.

The regulator on Wednesday warned that a licensed property management company found guilty of “misconduct or neglect in a professional respect” was committing a disciplinary offence and, upon conviction, would be subject to fines, suspension or revocation of licences.

Six more people had been arrested in connection with the Tai Po inferno, taking the total to 21. Photo: Handout

The Post reported on Monday that ISS EastPoint, a subsidiary of the Danish facilities behemoth ISS, was Wang Fuk Court’s property management company and had remained silent until contacted.

On Tuesday, the firm insisted it held no decision-making power over the tendering process at the estate.

The company is among key parties with a role in the renovation work, along with main contractor Prestige Construction and Engineering Co Ltd, project consultant Will Power Architects Co Ltd, the estate owners’ corporation and subcontractors.

The concept of “occupier’s liability”, according to the Occupiers Liability Ordinance, imposes a duty on the party in control of the premises to ensure the safety of visitors.

A property manager can be regarded as an occupier where it has control over the daily management of a building, according to the website of law firm Herbert Smith Freehills Kramer.

Tony Tse Wai-chuen, lawmaker for the architectural, surveying, planning and landscape sector, said that a property manager’s duty went beyond administrative tasks to the “constant” operations of a building.

Among its roles was inspecting whether relevant systems operated properly and reporting to owners.

“Fire safety equipment should be regularly inspected or tested,” Tse said. “If problems are discovered, they should identify what the problem is so it can be fixed quickly.”

ISS headquarters in Denmark. Photo: Handout

He added that while management companies were generally expected to provide an analysis of tenders for owners to make decisions, they should seek external help for complex issues.

“If the matter is of a complex nature and the property management company itself lacks the professional knowledge, it might appoint experts in this field to give advice,” he said. “It depends on the scope of the work involved.”

Records show, however, the management office, or ISS, was well aware of the estate’s deteriorating fire safety infrastructure long before the blaze, and tabled tenders for repair work.

Minutes from a meeting on November 7, less than three weeks before the fire, reveal that the estate had a leaking fire tank gate valve on the roof of a block, Wang Chi House, that required urgent repair, with members of the estate management committee of the owners’ corporation suggesting asking Prestige for a quote.

In late September, the committee approved a HK$144,170 (US$18,522) contract to repair equipment that specifically included “fire alarm bells” and “manual break-glass units” across the estate, the very systems that failed to sound when smoke engulfed the towers.

Minutes from May show the committee approved repairs for a leaking fire inlet pipe at Wang Yan House, awarding the job to Victory Fire Engineering, which offered the lowest bid at HK$8,500 among three competitors.

In July, the committee approved HK$97,200 from the renovation contingency fund to replace “ageing and rusted” fire tank pipes and accessories across four towers, Wang Kin, Wang Tai, Wang Shing and Wang Chi, after defects were exposed during waterproofing works.

The Hong Kong Association of Property Management Companies on Wednesday said that there were “protocols and responsibilities in relation to fire safety and project management”.

“When a central fire alarm is defective or under repair, our top priority is resident safety,” the association said, adding that increased human patrols, pushing for fast repairs and sending alerts to residents and ensuring staff were around to help in emergencies were important duties of a property manager.

As professional managers, the association said it was important to communicate when selecting the critical contracts, helping the owners’ corporation make fully informed financial decisions.

“We ensure that contractors meet the necessary statutory licences and standards before providing quotations,” it added.

Earlier, the Post revealed a series of safety breaches by main contractor Prestige. -- SOUTH CHINA MORNING POST

 

 

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