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Category: Finance

  • MIL-OSI Asia-Pac: CE’s speech in delivering “The Chief Executive’s 2024 Policy Address” to LegCo (4)

    Source: Hong Kong Government special administrative region

    (C) International Trade Centre58. The global trade landscape is undergoing constant changes, with parts of the supply chains shifting to the Global South and B&R countries, while many Mainland enterprises are also actively establishing their presence abroad.59. Hong Kong topped the global rankings in international trade and business legislation, according to the World Competitiveness Yearbook 2024. We have been the prime destination for Mainland and overseas enterprises setting up international headquarters to manage offshore trading and supply chain businesses.Build a High Value-added Supply Chain Service Centre60. Hong Kong is home to a deep pool of talents and extensive networks in offshore trading and supply chain management, including production chain management, export credit risk management, trade financing, marketing, testing and certification, accounting and other professional services. We will strengthen the provision of high value‑added supply chain services by:(i) establishing a high value‑added supply chain services mechanism – The Invest Hong Kong (InvestHK) and the Hong Kong Trade Development Council (HKTDC) will set up a mechanism and enhance the interface for attracting Mainland enterprises to establish international or regional headquarters in Hong Kong, providing one‑stop, diversified professional advisory services for enterprises in Hong Kong looking to go global;(ii) providing greater export protection for enterprises – The statutory maximum indemnity percentage of the Hong Kong Export Credit Insurance Corporation (ECIC) will be increased from 90% to 95%. The ECIC will also provide more free buyer credit checks with extended geographical coverage, and enhance financing support for e‑commerce businesses;(iii) providing robust export credit services – We will encourage the China Export & Credit Insurance Corporation to explore setting up businesses in Hong Kong, providing export credit insurance services covering overseas investment with prolonged investment period, offering Mainland enterprises in Hong Kong venturing overseas markets and foreign‑funded companies doing businesses in Mainland market with more comprehensive export credit services;(iv) promoting electronic trade financing – The HKMA is experimenting with tokenised electronic bills of lading through its Project Ensemble Sandbox. The goal is to lower fraud risks through the better use of technology and to facilitate the provision of trade financing by financial institutions. The HKMA will work with other jurisdictions on a pilot basis to develop mechanisms for trade information transmission, promoting cross‑boundary data transfers and the digitalisation of international trade. It will also allow potential stablecoin issuers to test blockchain use cases, including solutions for cross‑boundary payments through the stablecoin issuer sandbox; and(v) enhancing financial services with data – The HKMA expects to connect its Commercial Data Interchange (CDI) with the system of the Land Registry next year to facilitate enhancement of banking services through the better use of data.Expand Our Global Economic and Trade Networks61. In addition to developing the European and American markets, we will continue to expand our economic and trade networks, especially with B&R countries. Relevant measures include:(i) further opening up of trade in services with the Mainland – Under the Second Agreement Concerning Amendment to the Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA) Agreement on Trade in Services (Amendment Agreement II) signed recently, further liberalisation measures have been introduced across several services sectors. These include the construction, testing and certification, financial services, film, and television sectors. In particular, the period requirement of substantive business operations in Hong Kong for three years has been removed in most services sectors. This will attract more Hong Kong start‑ups, overseas enterprises, and talents from around the world to establish their presence in Hong Kong to tap the Mainland market. We will implement the Amendment Agreement II, step up promotion and provide assistance to enterprises as needed;(ii) reinforcing the interface of trade mechanisms – We will continue to seek early accession to the Regional Comprehensive Economic Partnership (RCEP). We are also in investment agreement negotiations with Bangladesh and Saudi Arabia, and plan to begin negotiations with Egypt and Peru. Our free trade agreement (FTA) negotiations with Peru have been concluded and we expect to sign the FTA this year. We will also expand the global network of our Economic and Trade Offices, focusing on establishing economic and trade ties with emerging markets; and(iii) further exploring priority markets – We will continue to pay visits and lead business and professional services delegations to priority markets such as B&R countries. We will also organise the B&R Cross‑professional Forum to promote Hong Kong’s professional services.Promote Development of a Headquarters Economy62. The Government will step up efforts to bring in strategic enterprises from outside the city to set up headquarters or corporate divisions in Hong Kong. The FSTB will submit a bill this year to introduce a company re‑domiciliation mechanism obviating the need for companies intending to re‑domicile in Hong Kong to be wound up in its original domicile overseas and establish a new company in Hong Kong. The companies will be able to preserve their legal identity and business continuity, saving cost as a result of the simplified procedures.63. The validity period of multiple‑entry visas for foreign staff of companies registered in Hong Kong, including non‑permanent residents, will be extended to a maximum of five years to facilitate their visit to the Mainland, and their applications will enjoy priority processing.64. We will strengthen the range of financial services available for Mainland enterprises in Hong Kong wishing to expand overseas, encouraging Mainland financial enterprises to co‑ordinate and manage their overseas business in Hong Kong and facilitating their internationalisation. The HKMA is exploring ways to enable Mainland enterprises looking to go global to enjoy facilitation of cross‑boundary RMB settlement and financing through enhanced offshore RMB liquidity, utilising technology and promoting international collaboration.Foster Trading of Liquor65. At present, Hong Kong imposes a duty of 100% on the import price of liquor (with alcoholic strength of more than 30%). To promote liquor trade and boost the development of high value‑added industries including logistics and storage, tourism as well as high‑end food and beverage consumption, the Government has made reference to the successful experience of driving the wine trade through exemption of wine duty, and will, starting today, reduce the duty rate for liquor with an import price of over $200 from 100% to 10% for the portion above $200, while the duty rate for the portion of $200 and below, as well as liquor with an import price of $200 or below will remain unchanged.(D) International Aviation Hub66. As an international aviation hub, Hong Kong is connected to nearly 200 destinations worldwide. Our city has topped the global ranking for air cargo throughput for more than a decade.67. The Airport Authority Hong Kong (AAHK) will complete the Three‑Runway System by the end of this year. From 2035, the Hong Kong International Airport (HKIA)’s capacity will increase by 50%.Enhance Aviation Development Strategies68. The Government will step up efforts in expanding our aviation network by supporting the HKIA to explore new destinations and flights, particularly enhancing co‑operation with civil aviation counterparts from B&R countries. In parallel, we will combine the strengths of our airport and Zhuhai Airport to improve the Fly‑Via‑Zhuhai‑Hong Kong direct passenger service and jointly develop international air cargo business for greater synergy.Develop a World-leading Airport City69. The Government will plan with the AAHK for expanding the scale of the Airport City by more than double, building a new, world‑leading landmark in the bay area among the Airport Island, the Hong Kong Port Island of the HZMB and Tung Chung East New Town. New projects will be developed to promote high‑end commercial, tourist and leisure activities. These include creating an ecosystem for the arts industry, building the AsiaWorld‑Expo Phase 2, developing a yacht bay with ancillary facilities, opening a food market for imported fresh food and providing more public spaces.Expand Cargo Capacity through the GBA and Enhance Advantages of the Air Cargo Industry70. The AAHK is pressing ahead in full steam with the innovative development of a sea‑air intermodal cargo‑transhipment mode in collaboration with Dongguan. The initial stage of first‑phase construction for the permanent logistics park in Dongguan, the HKIA Dongguan Logistics Park, will be completed by the end of next year, and the cargo‑handling capacity will progressively reach one million tonnes per annum. Advance planning will be made to commence the second‑phase development, introducing more high value‑added logistics, cross‑boundary e‑commerce and courier service facilities.71. The Government will extend arrangements under the Air Transhipment Cargo Exemption Scheme to other intermodal cargo‑transhipment modes to boost competitiveness.(E) Regional Centre for International Legal and Dispute Resolution ServicesCommence Training for International Legal Talents72. The Hong Kong International Legal Talents Training Academy will be officially launched this year, cultivating legal talents to be familiar with international law, common law, civil law, national legal systems and other legal aspects. The dedicated office and expert committee under the Department of Justice (DoJ) are pressing ahead with the related work.Step up Promotion of Mediation Services73. The International Organization for Mediation will have its headquarters set up in Hong Kong upon adoption and entry into force of the relevant international convention. The Government will enhance the system on local accreditation and disciplinary matters of the mediation profession to further strengthen our role as an international mediation centre. We will incorporate mediation clauses in government contracts and encourage private organisations to make reference to and adopt such clauses. We will also launch the Pilot Scheme on Community Mediation to offer more training opportunities for promoting mediation culture.Develop a Sports Dispute Resolution System74. With the development of sports activities and industry, sports disputes have become increasingly complicated. We will explore establishing a sports dispute resolution system and promote sports arbitration, leveraging the institutional advantages of Hong Kong in dispute resolution.(To be continued.)

    MIL OSI Asia Pacific News –

  • MIL-OSI New Zealand: Smoother travels coming on State Highway 6 Kohatu-Kawatiri Highway in Tasman

    Source: New Zealand Transport Agency

    Drivers can expect smoother journeys on State Highway 6 – Kohatu-Kawatiri, with the road to undergo reconstruction next month.

    The work is part of the $147 million 2024/27 National Land Transport Programme investment in state highways across the top of the South Island.

    Contractors will be on the job near Tunnicliff Bridge, between Motupiko and Korere, for six weeks beginning Monday 29 October. The work will continue through to Friday 6 December. 

    Rob Service, System Manager Top of the South, says many residents and drivers are looking forward to seeing this part of State Highway 6 fixed.  

    “We’ve previously carried out a number of temporary patches on this section of road, but the pavement has reached the end of its life. We’re getting in now to do long-term repairs, making the highway safer and travel easier.” 

    For the first three weeks (29 October to 15 November) the work will be carried out during the day from Monday to Friday under stop/go traffic controls. Drivers will need to factor in around 15-minute delays through the area.

    Between 18 and 29 November, the highway will be closed during the day between Motupiko and Korere due to the narrowness of the Tunnicliffe Bridge section of the road. A local road detour will be available during this time, but drivers must allow an extra 20 minutes of travel time.

    From 2 to 6 December, the site will return to daytime stop/go as road crews tidy up and disestablish the site.

    Rob Service says temporary speed limits will be in place to keep road crews and drivers safe while the repairs are underway.

    “We understand it will be a significant disruption this for many people who live on and drive on this road, including people travelling between the West Coast, Tasman and Nelson.”

    “However, it’s a case of short-term pain for long-term gain. Investing in road reconstruction like this significantly reduces the roadworks the highway will need in the future. Yes, there will be delays now – but looking ahead, drivers can expect a much easier drive,” Mr Service says.

    He acknowledges that roadworks occur more frequently during spring, summer, and early autumn and affect people’s travel – but that is the best time to do major roadworks.

    “Road reconstruction and re-sealing must be done during the warmer, drier months. It can’t be done during winter when the weather is wet and cold. Not if you want the work to be durable and effective.”

    “And Mr Service says every effort is being made to minimise disruption for the public

    We’ve timed the work to begin after Labour Weekend and have it completed before the busy Christmas holiday season. That means the road will be clear when traffic is at its busiest.”

    Works schedule

    • Work is from Tuesday, 29 October, to Friday, 6 December 2024.
    • Working hours: 7:00 am to 5.30 pm, Monday to Friday (no night-time or weekend work).
    • Stop/go controls and a reduced temporary speed limit in place from Tuesday, 29 October, to Friday 15 November. Expect delays of up to 15 minutes.
    • Full road closure in place from Monday, 18 November, to Friday, 29 November between Motupiko and Korere.
    • Detour via Korere-Tophouse Rd, Kerr Hill Rd, Stock Rd, and Wai-iti Valley Rd. Traffic lights and 30km/hr speed restrictions will be in place at Jansens Bridge on Kerr Hill Rd. The detour is suitable for all vehicles but approval for permitted vehicles (e.g. O/W or HPMV) will be required from Tasman District Council.
    • Allow an extra 20-minutes travel time for your journey.
    • The site will reopen outside work hours under a reduced temporary speed limit.
    • Traffic management will remain in place during weekends and nights (between 5.30 PM and 7:00 AM Monday to Friday).
    • Access through the works zone will be available for residents, businesses, and emergency services.
    • From Monday, 2 December to Friday, 6 December the site will return to stop/go and a reduced temporary speed limit between 7.00 am and 5.30 pm to allow crews to tidy up and disestablish the site.

    Download PDF containing both maps above [PDF, 2.2 MB]

    Summer maintenance season – tips and advice

    • Drivers need to be aware other summer maintenance and resilience works are happening around the region including on State Highway 6 between Nelson and West Coast. Drivers should check road conditions before they travel as knowing when and where roadworks are happening means you can time your travel to avoid them or allow extra time for your trip.”
    • Whenever you come to a worksite, remember that our road workers are doing their best to complete their work and keep you moving. Please be respectful and follow their advice and instructions.

    More Information

    MIL OSI New Zealand News –

  • MIL-OSI Asia-Pac: CE’s speech in delivering “The Chief Executive’s 2024 Policy Address” to LegCo (7)

    Source: Hong Kong Government special administrative region

    VI. Promote Integrated Development of Culture, Sports and Tourism and Foster Economic Diversification

    (A) East‑meets‑West Centre for International Cultural Exchange and Integrated Development of Culture, Sports and Tourism

    121. The current‑term Government set up the Culture, Sports and Tourism Bureau (CSTB) to consolidate the integrated development of culture, the creative industry, sports and tourism. To enhance Hong Kong’s role as the East‑meets‑West centre for international cultural exchange, the Government strives to deepen the institutional reform of our cultural system, improve the cultural and economic policies, and further enhance our cultural confidence.

    Enhance Cultural Soft Power and Promote Development of Cultural and Creative Industries

    122. The CSTB consulted the arts and cultural community last year on the formulation of the Blueprint for Arts and Culture and Creative Industries Development. The blueprint will cover four major development directions: promoting the development of diverse arts and culture with an international perspective, promoting Chinese culture, fostering arts and cultural exchange between China and the rest of the world, and driving industry development. The CSTB will consult the Culture Commission shortly and promulgate the blueprint later this year.

    123. Established in June, the Cultural and Creative Industries Development Agency adopts an industry‑oriented approach to promote the development of the cultural and creative industries. Relevant measures include:

    (i) incubating more cultural and creative projects with potential for industrialisation through the CreateSmart Initiative and strengthening cross‑sectoral collaboration and leveraging market resources, facilitating the industries to explore business opportunities;

    (ii) facilitating more registration of local and non‑local cultural and creative products on the Asia IP Exchange Portal to foster cross‑sectoral exchange, collaboration and business matching, and promoting transactions and transformation of cultural IP; and

    (iii) making the new flagship Hong Kong Fashion Design Week an annual signature event to develop Hong Kong into a fashion design hub in Asia.

    Strengthen Long-term Industry Development in the West Kowloon Cultural District

    124. The West Kowloon Cultural District (WKCD) is one of the largest arts and cultural projects in the world. The WKCD Authority will take a leading role in establishing an industry chain for the arts and culture and creative industries of Hong Kong, driving cultural and creative tourism, and enhancing its financial sustainability through diverse and innovative industrialisation measures, including:

    (i) further building Hong Kong’s strengths in arts trading – Promote the creation of a comprehensive arts trading ecosystem, and build storage, restoration and exhibition facilities for high‑end private art collections;

    (ii) promoting the WKCD as a prime destination for major international cultural, creative and commercial events – With more than 20 venues for different kinds of mega events, the WKCD Authority will step up efforts to host more major international cultural, creative and commercial events, attracting more inbound visitors and stimulating local spending;

    (iii) exporting more arts, cultural and creative projects – Organise and curate performing arts programmes and exhibitions to be staged as long‑run events locally, in the Mainland and overseas on a commercial basis, and expand the sales channels for cultural and creative merchandise; and

    (iv) branding the WKCD as a must‑visit landmark for cultural and creative tourism – Roll out more special experience activities, and step up worldwide promotion in collaboration with the Hong Kong Tourism Board (HKTB) to bring in more tourists.

    Promote Sports Development and Build Hong Kong into a Centre for Mega International Sports Events

    125. In recent years, Hong Kong athletes have achieved outstanding results in international competitions. Hong Kong has abundant resources and support. With our soon‑to‑complete new landmark Kai Tak Sports Park (KTSP), and our co‑hosting of the 15th National Games with Guangdong and Macao late next year, our city has unrivaled advantages for developing itself into a platform for international sports activities. The Government will continue to foster sports development by promoting sports in the community, supporting elite sports, maintaining Hong Kong as a centre for major international sports events, enhancing professionalism, and developing sports as an industry. Relevant measures include:

    (i) enhancing the development of elite athletes and coaches – The Government has invited the Hong Kong Sports Institute to review the mechanism of direct financial support for athletes (including athletes with disabilities) to enhance the training system, and has set up a committee to oversee the development of sports medicine and sports science. The Government will also strengthen training for coaches, and explore the feasibility of establishing a standardised accreditation system for coaches;

    (ii) boosting sports promotion in the community – Provide more sports and recreational facilities, including building a swimming complex suitable for hosting international competitions and a sports arena with fencing training and competition facilities. We will also regularise the Pilot Scheme on Subvention for New Sports;

    (iii) reforming the governance of national sports associations (NSAs) – The Sports Federation and Olympic Committee of Hong Kong, China will conclude its review on the governance and operation of NSAs, and make recommendations, ensuring the NSAs are operating effectively so that athletes (including athletes with disabilities) can realise their potential in a fair and professional environment; and

    (iv) developing a host city economy in the sports industry – The Government will continue to support athletes to participate in different large‑scale international competitions. We will make full use of the KTSP and other existing venues to host large‑scale international competitions so that Hong Kong teams can compete on home soil, building their own audience. These will be conducive to the long‑term development of the sports industry.

    126. The Government will review the redevelopment plan for the Hong Kong Stadium to ensure its synergy with the KTSP.

    Develop Kai Tak Sports Park into a Sports and Mega Event Landmark

    127. Opening in the first quarter of 2025, the KTSP is the largest sports infrastructure project ever commissioned in Hong Kong. It will boost sports development and inject impetus into related industries such as recreation, entertainment and tourism, and also mega‑event economy.

    128. The inter‑departmental Task Force on KTSP, led by the Chief Secretary for Administration, will ramp up efforts in overseeing the smooth completion and commissioning of the KTSP and its publicity work, fostering the synergistic development of major sports events, innovative entertainment, dining, conventions and exhibitions, as well as tourism activities. The task force will also formulate thorough plans and conduct comprehensive drills on security deployment, crowd management, emergency response, and other areas.

    Enhance Cultural Confidence and Revitalise Hong Kong’s Tourism Industry

    129. We will develop Hong Kong into a premier tourism destination through innovative thinking and making better use of our rich and unique resources such as the Victoria Harbour, outlying islands, rural areas, cultures, cuisines, lifestyles and historic buildings. These elements, combined with our edges in technology, animation and comics, the performing arts, film and television culture, and more, will help to instill the concept of “tourism is everywhere in Hong Kong”.

    130. The CSTB will publish the Development Blueprint for Hong Kong’s Tourism Industry 2.0 (Blueprint 2.0) later this year, with the focus on promoting culture, sports, ecology and mega events, covering such areas as:

    (i) developing eco‑tourism – We will explore more itineraries with characteristics related to the countryside and coastal routes, such as island‑hopping tours in Yan Chau Tong, and enhance related amenities; expedite the development of the South Lantau Eco‑recreation Corridor; develop the ex‑Lamma Quarry site into an area for resort and outdoor recreational uses; and develop Tsim Bei Tsui and Pak Nai into eco‑tourism nodes;

    (ii) developing visitor sources from the Middle East and ASEAN – We will actively encourage various sectors of the community to enhance tourism‑support measures for creating a friendly environment for visitors. They include providing information at the airport in Arabic and encouraging taxi fleets to provide fleet service information in Arabic; compiling a list of restaurants offering halal food; encouraging more commercial establishments to provide appropriate facilities, such as worship facilities in hotels; and stepping up staff training to strengthen their knowledge on receiving visitors from different cultural backgrounds;

    (iii) developing tourism products with characteristics – We will promote yacht tourism in the expansion area of Aberdeen Typhoon Shelter, the ex‑Lamma Quarry area and the development of the waterfront site in the vicinity of the Hung Hom Station. We will also promote panda tourism, horse racing tourism, and the like. The CSTB will promote cultural and eco‑tourism itineraries and products at Sha Tau Kok. The Security Bureau (SB) will increase the daily visitor quota under the Sha Tau Kok opening‑up plan to 3 000 by the end of this year. Facial recognition technology will be adopted to enable people living or working at Chung Ying Street to enter and leave the street unimpededly via a “contactless” mode on a pilot basis. The SB will explore the application of relevant technology to complement the future opening up of Chung Ying Street for tourism;

    (iv) developing mega‑event tourism economy – The Mega Events Coordination Group, led by the Deputy Financial Secretary, will continue to take a proactive role in attracting different mega events to Hong Kong with emphasis on quality and quantity, boosting the retail and hotel industries. We will drive the development of the site above the Exhibition Station in Wan Chai North, as well as the waterfront and pier sites in the vicinity of the Hung Hom Station, into new landmarks providing additional event venues;

    (v) strengthening the appeal of traditional tourism – The HKTB will draw up a gourmet guide covering the 18 districts, organise gastronomic events, and promote gourmet food in different districts. The CSTB will publish the action plan on the development of cruise tourism, alongside the Blueprint 2.0, to enhance the Kai Tak Cruise Terminal’s role as a homeport and a venue for conventions, exhibitions and other events; and

    (vi) promoting smart tourism and enhancing service quality of the tourism industry – The HKTB will strengthen its efforts in developing and promoting tourism products with Hong Kong characteristics to both locals and visitors, making use of technologies such as AI to provide one‑stop assistance and attraction recommendations. We will also launch a new outstanding services award scheme to consolidate our hospitable culture.

    Develop New Tourist Hotspots

    131. The Government will set up a Working Group on Developing Tourist Hotspots. Led by the Deputy Chief Secretary for Administration, it will strengthen cross departmental co‑ordination and leverage community efforts, identifying and developing tourist hotspots of high popularity and with strong appeal in various districts.

    Increase Tourist Arrivals

    132. The HKSAR Government has proposed to the Central Government further enhancements on Mainland residents’ tourism visit endorsements to Hong Kong, including resuming the “multiple‑entry” Individual Visit Endorsements for Shenzhen residents and expanding the coverage of pilot cities for implementing policies on the “one trip per week” Individual Visit Endorsements. The Central Government has advised that relevant departments are studying the expedited implementation of the proposal proactively.

    133. To foster closer people ties with ASEAN countries, starting today, the Government will relax the criteria for nationals of Cambodia, Laos and Myanmar applying for multiple‑entry visas for travel and business, and extend the validity period of multiple‑entry visas for these countries from two years to three years. The arrangement also applies to Vietnamese, who have benefitted from the relaxation of the visa policy since last year. Under a fast‑track arrangement, we will expedite the processing of visa applications from group visitors of ASEAN countries submitted via local travel agents. In addition, we will provide self‑service immigration clearance for invited persons participating in business, development and related activities from the 10 ASEAN countries, and provide one‑stop handling of their applications for self‑service immigration clearance and visa through a dedicated desk. Various bureaux will provide assistance in drawing up the list. Effective today, the requirement for visitors to furnish an arrival or departure card is cancelled, facilitating a faster and more convenient immigration clearance.

    (B) Foster Economic Diversification

    Support Small and Medium Enterprises

    134. To address the challenges commonly encountered by small and medium enterprises (SMEs) during economic restructuring, the Government will introduce the following support measures:

    (i) re‑launching the principal moratorium – Borrowing enterprises under the SME Financing Guarantee Scheme (including the existing loans already granted under the 80%, 90% and special 100% guarantee products as well as new loans under the 80% and 90% guarantee products) will be allowed to apply for principal moratorium for up to 12 months. The maximum loan guarantee periods of the 80% and 90% guarantee products will be extended to ten years and eight years respectively, while the partial principal repayment options will be offered to new loans under the two guarantee products. The HKMA is also actively considering to provide flexibility in banks’ capital requirement to facilitate their lending to SMEs;

    (ii) injecting $1 billion into the BUD Fund – Support will be provided for SMEs to upgrade their business operations and develop new markets through the Dedicated Fund on Branding, Upgrading and Domestic Sales (the BUD Fund), including expanding the geographical coverage of E‑commerce Easy to the 10 ASEAN countries, and providing targeted funding support for enterprises to implement green transformation projects;

    (iii) supporting digital transformation of SMEs and capitalising on e‑commerce opportunities – The scope of Cyberport’s Digital Transformation Support Pilot Programme will be expanded to cover the retail and food and beverage sectors, as well as industries such as tourism and personal services, subsidising SMEs for digital transformation on a one‑to‑one matching basis. The Hong Kong Shopping Festival is to be relaunched in the next two years to help SMEs tap into the Mainland e‑commerce sales market, and will be held in the ASEAN market in due course;

    (iv) strengthening brand development of SMEs – The HKTDC will formulate plans for setting up more Hong Kong Pavilions in Mainland and overseas exhibitions to further promote Hong Kong brands. The Trade and Industry Department and the HKTDC will also enhance support for SMEs in developing brands and expanding the sales network of e‑commerce;

    (v) enhancing the services of the Hong Kong Design Centre – The organisation and functions of the Hong Kong Design Centre will be re‑structured, so as to assist SMEs in the design industry to enhance their services in product and brand design, and strengthen collaboration and interface with start‑ups and Mainland enterprises operating in Hong Kong;

    (vi) enhancing incentives for recurrent exhibitions – An additional provision of $500 million will be allocated for launching the Incentive Scheme for Recurrent Exhibitions 2.0, targeting new and international exhibitions of large scale, in order to further promote mega‑event economy and the development of the convention and exhibition industry;

    (vii) supporting participation in government procurement – The HKHA will refine the application procedures for admission to the list of maintenance works contractors, providing more tendering opportunities for contractors; and

    (viii) enhancing security of payment in the construction industry – The Government has introduced the Construction Industry Security of Payment Bill, which prohibits the use of unfair payment terms such as “conditional payment” in contracts and introduces an adjudication mechanism to resolve payment disputes.

    Develop Silver Economy

    135. Given the rapid expansion of the silver market, there is growing demand for products and services catering to the elderly.  Developing new products and services to meet the needs of the elderly will help enhance their quality of life, and also generate business opportunities.

    136. The Government will set up a Working Group on Promoting Silver Economy, led by the Deputy Chief Secretary for Administration. The working group will implement measures in five areas:

    (i) boosting “silver consumption” – We will work with all sectors to foster elderly‑friendly consumption, and encourage incorporation of silver economy elements into their business, for example, by offering discounts to the elderly. Efforts will also be made to safeguard the rights and interests of elderly consumers;

    (ii) developing the “silver industry” – We will promote marketisation and industrialisation of products catering to the elderly by consolidating funding resources to support product provision and market expansion by the business sector;

    (iii) promoting “quality assurance of silver products” – We will promote the certification of products catering to the elderly to enhance their recognition and appeal. Standards adopted will be aligned with those of the Mainland and overseas to facilitate sales network expansion;

    (iv) enhancing “silver financial and security arrangements” – We will assist the elderly in making proper financial arrangements and strengthening their financial security. Relevant measures include promoting retirement financial planning products offered by the Hong Kong Mortgage Corporation Limited, and providing investor education for the elderly; and

    (v) unleashing “silver productivity” – We will help unleash the productivity of the elderly through retraining, re‑employment and other measures.

    Promote Sustainable Development of the Agriculture and Fisheries Industries

    137. The Government will continue to take forward the Blueprint for the Sustainable Development of Agriculture and Fisheries. Relevant work includes developing deep sea mariculture at Wong Chuk Kok Hoi and Mirs Bay new fish culture zones, conducting preparatory work for the Agricultural Park Phase 2 development, implementing urban farming strategy in NDAs, facilitating the livestock sector to construct modernised and environmental‑friendly multi‑storey livestock farms and promoting leisure farming and fisheries.

    (To be continued.)

    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: CE lays out agenda for development

    Source: Hong Kong Information Services

    This is my third Policy Address.

    The Third Plenary Session of the 20th Central Committee of the Communist Party of China (CPC Central Committee) adopted the Resolution of the CPC Central Committee on Further Deepening Reform Comprehensively to Advance Chinese Modernization. The resolution calls on Hong Kong to fully harness the institutional strengths of “one country, two systems” while consolidating and enhancing its status as an international financial, shipping and trade centre. It also supports Hong Kong’s position to become an international hub for high-calibre talents, to exert a greater role in our country’s opening up to the world, and to deepen collaboration within the Guangdong Hong Kong Macao Greater Bay Area (GBA) through better harmonisation of rules and mechanisms.

    In running for office, more than two years ago, I stated that “we must embrace a reform mindset” and we “need further revamping”. I proposed to build a “result-oriented” government, setting key performance indicators (KPIs) to create a new government culture. I put forward a series of reform measures, including the establishment of Care Teams to enhance district services, introduction of the Advance Allocation Scheme to shorten the waiting time for public housing, and assistance to junior secondary students living in subdivided units (SDUs) for tackling intergenerational poverty. I believe that we must maintain our development momentum and self-renewal, and that we must embrace changes while staying principled, innovative and flexible in meeting challenges and opportunities.

    Regarding system reforms, I work on the principle that anything essential but lacking in the system must be established; any serious shortcomings must be rectified; any bottlenecks, weaknesses or hurdles must be overcome; and any areas in need of consolidation must be reinforced and improved. In the reform process, we have to decide what should be built from scratch, what should be overhauled to set things right, and what should be consolidated and bolstered. In taking forward reforms, we must have a systemic mindset and manage the relationships between overall and local interests, between the present and the future, between macro and micro concerns. While we may make reference to the successful experiences of other places, we cannot adopt them directly given the differences in the basis and structure of our systems. Our reform proposals must take heed of the prevailing circumstances and be tailored to local conditions.

    Since becoming Chief Executive, I have carried out reforms along the above principle.

    On implementation of “one country, two systems”, we fulfilled the constitutional responsibility to enact local legislation for Article 23 of the Basic Law; we reformed the institutional set-up of the District Councils by implementing the principle of “patriots administering Hong Kong”; we enacted new legislation to enable an essentially automatic extension of land leases in an orderly manner for a term of 50 years to beyond 2047, manifesting the long term adherence to “one country, two systems”.

    On governance, we reformed the government structure and reshuffled the duties among policy bureaus, increasing their number from 13 to 15. We created three new Deputy Secretaries of Department to strengthen co-ordination of work across bureaus, setting up task forces led by the Deputy Secretaries to enhance implementation. We cultivated a government culture focusing on results. We also introduced a mechanism mobilising the Government at all levels to respond to major incidents.

    In economic development, we established the Hong Kong Investment Corporation Limited (HKIC) to optimise the use of government funds for the development of industries and our economy. We pressed ahead with the development of the “eight centres” and the Northern Metropolis, taking an industry oriented approach. We set up the Hong Kong Talent Engage (HKTE) and the Office for Attracting Strategic Enterprises (OASES) to strengthen our efforts in trawling for talents and enterprises. We also established Hong Kong as a regional hub for higher education.

    As for people’s livelihoods, we implemented healthcare reform and took steps to build our primary review mechanism for drugs and medical devices. We set up a system for bringing in healthcare professionals to alleviate manpower shortage in the public healthcare system. We also launched Light Public Housing (LPH) to fill short-term gaps in the supply of public housing, and established the Task Force on Tackling the Issue of Subdivided Units. We pooled resources for targeted poverty alleviation. We established an annual review mechanism for minimum wage protection. We also rationalised traffic flow among the three road harbour crossings.

    Reform is a continuous process. Over the past two years, my team and I have focused on economic growth and on improving people’s livelihoods through development, with the well-being of the people of Hong Kong close to our hearts. This Policy Address will deepen our reforms and explore new growth areas. Measures include building an international gold trading market, promoting high value added maritime services, and building a commodity trading ecosystem and internationally accredited metal warehouses. We will promulgate the Development Outline for the Hong Kong Shenzhen Innovation & Technology Park in the Loop, building a testing ground for policy and institutional innovation. We will also set up a working group on developing the low altitude economy.

    In this Policy Address, I will continue to follow through the “four proposals” put forward by President Xi Jinping in his important speech delivered on 1 July 2022. I will also outline our vision and objectives for reforms and changes, as well as the related key measures and KPIs. A Supplement offering more details on the policy measures and related matters has also been compiled.

    This is the English translation of the opening remarks in Chief Executive John Lee’s 2024 Policy Address, delivered on October 16.

    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: HK hones its financial edge

    Source: Hong Kong Information Services

    Chief Executive John Lee unveiled bold plans in his 2024 Policy Address for consolidating and enhancing Hong Kong’s status as an international financial centre.

    Upon highlighting the fact that Hong Kong is an international financial centre, ranking third globally and first in investment environment, he stated that the Government will continue with reforms to reinforce and enhance the city’s status.

    The Chief Executive explained that Hong Kong is an attractive location for investors for gold storage, spurring relevant activities such as gold trading, settlement, and delivery.  

    As such, his administration will capitalise on Hong Kong’s strengths as an international financial centre to build the city into an international gold trading centre.

    The Chief Executive provided details of the objective of building an international gold trading market given the city ranks among the world’s largest import and export markets for gold by volume.

    “The Government will promote the development of world-class gold storage facilities, facilitating the storage and delivery of spot gold by users and investors in Hong Kong, and driving demand for related services such as collateral and loan businesses, opening up new growth areas of the financial sector.”

    He added that the Financial Services & the Treasury Bureau (FSTB) will set up a working group to take forward the establishment of an international gold trading centre.

    “This will include, among other things, strengthening the trading mechanism and regulatory framework, promoting application of cutting-edge financial technology, and actively exploring with the Mainland authorities on the inclusion of gold-related products in the mutual market access programme.”

    Mr Lee also outlined his plan to deepen market access and enriching offshore renminbi business.

    “We will continue to enhance the mutual market access regime and reinforce our status as the world’s largest offshore renminbi business hub, contributing to the internationalisation of RMB. Key measures include continuously improving our infrastructure and upgrading the Central Moneymarkets Unit to facilitate the settlement of various assets in different currencies by international investors.

    “We will also develop the fixed income market infrastructure by, for instance, setting up a central clearing system for RMB-denominated bond repurchase (repo) transactions, making RMB sovereign bonds issued in Hong Kong a more popular choice of collateral in offshore markets. We will look to enhance the Cross-boundary Wealth Management Connect Scheme as well.”

    The Chief Executive indicated that the Government will strive to make better use of the currency swap agreement between the Hong Kong Special Administrative Region with our country to enhance offshore RMB liquidity.

    In doing so, it will provide more RMB-denominated investment products.

    Part of that plan calls for the Hong Kong Exchanges & Clearing (HKEX) to encourage more listed companies to have shares listed in the RMB stock trading counter. 

    Apart from increasing the issuance of RMB bonds and supporting issuance of more green and sustainable offshore RMB bonds in Hong Kong, it will also seek support from the Ministry of Finance for boosting the size and frequency of issuing RMB sovereign bonds, and launching offshore RMB sovereign bond futures as soon as possible, in Hong Kong.

    Additionally, the Government will actively liaise with Mainland authorities to expand the Bond Connect (Southbound Trading) as appropriate, including expanding the scope of eligible Mainland investors to non-bank financial institutions, and enriching liquidity management tools that facilitate offshore investors’ investment in onshore bonds by actively exploring and introducing various bond repo and collateral products and arrangements using onshore RMB bonds.

    Mr Lee shared the Government’s plans to enhance Hong Kong’s status as an international risk management centre and an international asset and wealth management centre.

    “Hong Kong has the highest concentration of insurance companies and the highest insurance density in Asia. To further strengthen Hong Kong’s position as a global risk management centre, the Insurance Authority will initiate a review next year. 

    “We will examine capital requirements for infrastructure investment, to enriching insurance companies’ asset allocation for risk diversification and driving investment in infrastructure such as the Northern Metropolis. We will also continue to invite Mainland and overseas enterprises, including large state-owned enterprises in the Mainland, to establish captive insurers in Hong Kong.”

    He added that there are 2,700 single-family offices in Hong Kong, and the industry has predicted that Hong Kong will become the world’s largest cross-boundary wealth management centre by 2028.  

    “We will make every effort to attract more global capital to be managed in Hong Kong, including facilitating the opening of new distribution channels for private equity funds through HKEX’s listing.”

    On top of that, he stressed that the Government will collaborate with sovereign wealth funds in regions along the Belt & Road.

    “We will strive to collaborate with large-scale sovereign wealth funds in regions such as the Middle East, in financing the setting up of funds to invest in assets in the Mainland and other regions.”

    Mr Lee also explained the measures to enhance the New Capital Investment Entrant Scheme, effective today. This means that investment in residential properties is allowed provided that the transaction price of the residential property concerned is no less than $50 million, with the amount of real estate investment to be counted towards the total capital investment capped at $10 million.

    Additionally, by expanding the scope of tax concessions, the Government will consult the industry on the proposal to add qualifying transactions eligible for tax concessions for funds and single-family offices.

    The Government is committed to proactively expanding markets and deepening overseas networks, Mr Lee said, as he conveyed its strategy to accomplish such a goal.

    “We will continue to actively expand and deepen our overseas networks, including forging financial co-operation with the Middle East and the region of the Association of South East Asian Nations, organising more international financial mega events, and exploring further collaboration with Islamic markets in the area of finance.”

    Mr Lee expounded on how the Government will accomplish its aim of further enhancing the securities market.

    Relevant measures include opening up new sources of capital overseas, striving for more listing of enterprises in Hong Kong, optimising vetting of listing applications and boosting market efficiency.

    He also noted the Government’s proposal for providing convenient cross-boundary financial services arrangement.

    “To promote financial inclusion, we will facilitate members of the public in making cross-boundary transactions and payments. 

    “The Hong Kong Monetary Authority and the People’s Bank of China are pushing forward the linkage of fast payment systems in the two places, ie the Faster Payment System in Hong Kong and the Internet Banking Payment System in the Mainland, to facilitate real-time, cross-boundary small-value payments by residents on both sides; and they will implement the arrangement enabling issuance of bank cards by Mainland branches of Hong Kong-incorporated banks in the Mainland.”

    Mr Lee revealed that his Policy Address embraces measure to enhance Hong Kong’s green finance ecosystem, due to the fact that the city is a leading sustainable finance hub in Asia.

    “The international carbon market (Core Climate) launched by the HKEX is the world’s only carbon market to offer Hong Kong dollar and RMB settlement for trading of international voluntary carbon credits.

    “The Hong Kong Monetary Authority will roll out the Sustainable Finance Action Agenda. In addition, the FSTB will launch a roadmap on the full adoption of the International Financial Reporting Standards – Sustainability Disclosure Standards this year, leading Hong Kong to be among the first jurisdictions to align its local requirements with the standards of the International Sustainability Standards Board.”

    MIL OSI Asia Pacific News –

  • MIL-Evening Report: Claims that Qantas is greenwashing build a case for carbon assurance: here’s what it is

    Source: The Conversation (Au and NZ) – By Md Safiullah (Safi), Senior Lecturer in Finance, RMIT University

    ChristianChan/Shutterstock

    Qantas is being taken to Australia’s consumer regulator over its claim it is committed to achieving net zero emissions by 2050.

    The Environmental Defenders Office and the advocacy group Climate Integrity say the claim is “not backed up by credible targets or substantiating strategies” making it potentially misleading and in breach of the Australian Consumer Law.

    The Australian Competition and Consumer Commission has yet to decide whether to investigate the complaint, and Qantas has yet to respond.

    The complaint follows a ruling by a Dutch Court earlier this year that the airline KLM had misled consumers by creating the false impression it was sustainable.

    The win has spurred the European Commission to write to 20 airlines identifying potentially misleading claims and inviting them to bring their practices in line.

    Of most concern to the European regulators are claims the carbon emissions caused by flights can be offset by climate projects and the use of sustainable fuels, to which the consumers can contribute by paying additional fees.

    Carbon assurance assesses claims ahead of time

    These kinds of complaints would be much easier for airlines (and other compnies) to deal with if they had submitted themselves to a process known as carbon assurance ahead of time.

    Usually entered into voluntarily, and conducted by an independent assessor in accordance with an international standard, the process verifies the accuracy, transparency, and credibility of an organisation’s carbon emissions claims.

    My own research with Linh Nguyen, just published in Finance Research Letters, finds firms with high carbon assurance scores are more likely to obtain more trade credit from their suppliers.

    Europe and Australia are moving towards making carbon assurance mandatory for large corporations.

    Few firms submit themselves to it

    A survey by KPMG International finds that while nearly all of the world’s 250 largest firms report on the sustainability of their operations, only two-thirds submit themselves to carbon assurance.

    Another survey of 5,183 companies from 42 countries that publish emissions data finds half don’t engage a carbon assuror.

    This could be because they are afraid of what the assuror will find.

    An international survey of 750 companies that sought some level of external assurance found just 14% received a reasonable assurance.

    Many firms aren’t ready

    Assessors are hard to find.
    NattapongPunna/Shutterstock

    Assurors, and the skills within the organisation to handle the process are hard to find. While international standards are in place, there isn’t yet a professional or regulatory body to certify assurors.

    The Australian government intends to make assurance reports for the
    Scope 1 and Scope 2 emissions of large firms mandatory from July 2026.

    Scope 1 and scope 2 emissions are the direct and indirect emissions of the corporation itself.

    The government intends to make Scope 3 emissions (those in other parts of the corporation’s supply and distribution chain) mandatory from July 2030.

    It will be important to get the systems in place.

    While what the firms report will matter a lot, what will matter almost as much is an assurance we can believe what they report.

    Md Safiullah (Safi) does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    – ref. Claims that Qantas is greenwashing build a case for carbon assurance: here’s what it is – https://theconversation.com/claims-that-qantas-is-greenwashing-build-a-case-for-carbon-assurance-heres-what-it-is-239592

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI Asia-Pac: CE’s speech in delivering “The Chief Executive’s 2024 Policy Address” to LegCo (8)

    Source: Hong Kong Government special administrative region

    VII. Take Forward the Northern Metropolis as Growth Engine and Deepen GBA Collaboration(A) Take Forward Development of the Northern Metropolis138. The Northern Metropolis is the new engine of Hong Kong’s economic development. We will expedite the implementation of economic and housing‑related projects in the Northern Metropolis, while maintaining a prudent fiscal position.139. The Northern Metropolis will gradually enter the maturity phase. In the next five years, some 60 000 housing units involving about 10 new PRH estates will be completed and ready for intake. The first batch of land at the San Tin Technopole will be put to the market, and the new Huanggang Port building with co‑location of immigration and customs clearance arrangement will be completed. In the second five‑year period, the number of new housing units will increase by about 150 000, with over 10 million square metres of gross floor area available for economic uses. The first joint‑user government building in Kwu Tung North will be put to use, and the expanded North District Hospital will be ready for service. As for transport infrastructure, construction of the Northern Link (NOL) Main Line is scheduled for completion in 2034, and the Northern Metropolis Highway (San Tin Section) is set to open in 2036. These developments will significantly boost our economic growth and bolster our R&D and technology industries, while providing a better living environment which will help attract talents and encourage them to settle in Hong Kong for good. It will also enhance the quality of life of the people of Hong Kong, improving their livelihood and well‑being.140. The Government will seek funding for the first‑stage of San Tin Technopole’s infrastructure and begin construction works this year. The target is to deliver about 20 hectares of new I&T sites in phases, beginning in 2026‑27, for the Hong Kong Science and Technology Parks Corporation’s development and operation. In addition, the second‑phase of the Yuen Long South NDA will begin in mid‑2025. The preliminary development proposal for Ngau Tam Mei will be announced shortly, with land reserved for developing the Northern Metropolis University Town, the third medical school and an integrated teaching hospital. This will be followed by the announcement of the preliminary development proposals for the New Territories North New Town and the Ma Tso Lung area before end this year. The rezoning process for Sandy Ridge in the North District will begin this year, expanding its I&T sites to 10 hectares for use as data centres and related purposes.141. We are exploring the establishment of a pilot industrial park by granting some of the logistics sites in the Hung Shui Kiu/Ha Tsuen NDA to a company established and led by the Government. The company will, in accordance with the Government’s industrial policies, be responsible for formulating the park’s development and operation strategies (including considering whether to accept strategic investment), taking up day‑to‑day management and attracting businesses and investment. We will announce the details in the first quarter of next year. Separately, we will consider flexible disposal approaches for industry land to meet the development needs of individual industries, with a view to driving industry development.142. To expedite development of the Northern Metropolis, the Government will adopt, on a pilot basis, a large‑scale land‑disposal approach, under which sizable land parcels with commercial value and earmarked for provision of community facilities will be selected and granted to successful bidders for collective development. This approach can speed up development of the land parcels, enabling a more co‑ordinated design for the area. We have identified three land parcels, each of 10 to 20 hectares, as pilot sites.(B) Promote Development of the Hong Kong‑Shenzhen I&T Park in the Loop143. The Hetao Shenzhen‑Hong Kong Science and Technology Innovation Co‑operation Zone, located on both sides of the Shenzhen River, consists of the Shenzhen Park and the Hong Kong Park. Capitalising on the strengths of “One Country, Two Systems” with the geographic advantages of “one river, two banks”, the Government will develop the Hong Kong Park in the Loop into a world‑class, industry‑academia‑research platform, an internationally competitive R&D transformation and pilot production base for industries, a hub for pooling global I&T resources, as well as a testing ground for institutional and policy innovation.144. I have established the Steering Committee on the Hong Kong‑Shenzhen I&T Park in the Loop, chaired by myself, to lead the HKSAR Government to formulate the overall strategy, planning and layout for the development of the Hong Kong Park. The Development Outline for the Hong Kong Park of the Hetao Shenzhen‑Hong Kong Science and Technology Innovation Co‑operation Zone will be published later this year, setting out innovative policies to facilitate the flow of personnel, materials, capital and data between the two parks, making the co‑operation zone a crucial source of new quality productive forces for our country.145. The Hong Kong Park will be developed in two phases from west to east. The Government is boosting both the speed and quantity, doubling the first‑phase development’s gross floor area to 1 million square metres. Construction of the first three buildings will be completed in phases, from the end of this year. The first batch of tenants, from life and health technology, AI, data science and other pillar industries, will begin to move in next year. The remaining five buildings will be completed in the coming five years.146. We are also exploring with the Mainland authorities the trial implementation of innovative facilitation measures, including facilitating cross‑boundary travel of designated personnel of the two parks, enabling the cross‑boundary movement of materials by using low‑altitude, unmanned aerial vehicles, and facilitating cross‑boundary fund transfers by Mainland enterprises settling in the Hong Kong Park.(C) Leverage the Strengths of the GBA to Foster Mutual Capacity Development147. The GBA is a strategic fulcrum of the new development pattern of our country, a demonstration zone of high‑quality development, and a pioneer of Chinese modernisation. And Hong Kong is an active participant, facilitator and beneficiary.148. To strengthen top‑level planning and steer, I have established the Steering Group on Integration into National Development to lead the HKSAR Government and all sectors of the community to take a more proactive role in promoting the integrated development of Hong Kong and the Mainland, particularly the Mainland cities of the GBA, deepening collaboration through various co‑operation task forces between the two sides. The Government will continue to promote the GBA development by building a higher level of connectivity, facilitating policy innovations and breakthroughs, pursuing wider harmonisation of rules and mechanisms, and expediting co‑ordinated development of I&T and related industries.Capitalise on the Mainland’s Land Resources and Hong Kong’s Advantages in Cargo Flow to Develop a Logistics Industry Circle149. The HKIA Dongguan Logistics Park is an excellent example for the development of an innovative co‑operation mechanism. The park, built with Hong Kong investment, combines our strengths in aviation and logistics with the Mainland’s advantages in terms of land and manpower resources, leading to a reduction in operating costs and cargo handling time. We will work with the Dongguan Municipal Government to jointly develop the permanent logistics park.Promote Collaboration in the Airport Cluster of the GBA to Expand Business Networks150. We will combine the strengths of the HKIA and the Zhuhai Airport, enhancing the Fly‑Via‑Zhuhai‑Hong Kong direct passenger service and promoting the development of the international air‑cargo business in collaboration with the Zhuhai Municipality, to achieve mutual benefits.Enhance the Mechanism on Recognition of Professional Qualifications151. In collaboration with the Guangdong Province, we have established an evaluation mechanism of post titles for the first batch of Hong Kong engineering professionals. We will continue to do so for other construction professions on a gradual basis.  We are also collaborating with the Guangdong Province and Macao to create GBA Standards on the skill level for skilled workers in the construction sector, and will work with the “One Examination, Multiple Certification” arrangement so that those who pass the examinations adopting the GBA Standards can concurrently obtain vocational skill certificates issued by the three places. This will enhance the training quality of the construction industry in the GBA and nurture talents.Mobilise Capital for Joint Investment in the GBA152. The HKIC is proactively exploring with relevant Mainland organisations co‑operation opportunities for joint investment in GBA projects that present the potential to realise economic and social benefits, taking into account market developments.Promote Data Flow for Public Convenience and Business Facilitation153. The Standard Contract for the Cross‑boundary Flow of Personal Information Within the GBA (Mainland, Hong Kong), piloted in the banking, credit referencing and healthcare sectors since last year, has been operating smoothly, streamlining cross‑boundary data flow in compliance with relevant rules. We will extend the measure to all sectors, promoting more cross‑boundary services to benefit the public and businesses while facilitating data flow throughout the GBA.Scale up Medical Collaboration in the GBA154. We will extend the Elderly Health Care Voucher GBA Pilot Scheme to cover nine Mainland cities in the GBA, and expand the sharing of cross‑boundary medical records via the eHealth platform. We will work to enable the cross‑boundary use of data, samples, drugs and medical devices through the GBA Clinical Trial Collaboration Platform and the Real‑World Study and Application Centre in the Hetao Shenzhen‑Hong Kong Science and Technology Innovation Co‑operation Zone. That will accelerate development of the pharmaceutical industry for medical innovation. We will also foster collaboration with the GBA to promote specialist training that aligns with international standards.Strengthen Legal Co-operation155. We will continue to follow up on the implementation of the enhanced arrangement for cross‑boundary service of judicial documents, and promote the establishment of a GBA legal information platform and a dedicated platform for GBA lawyers to facilitate professional exchange and training.Nurture Talents and Create Opportunities for Youth Development156. We have been encouraging local universities to offer education services in the GBA. To date, four GBA campuses have been set up. In addition, we have set up the GBA Youth Employment Scheme to encourage Hong Kong youths to work in the region. We are exploring the provision of a reciprocal arrangement.(To be continued.)

    MIL OSI Asia Pacific News –

  • MIL-OSI: Sampo plc’s share buybacks 15 October 2024

    Source: GlobeNewswire (MIL-OSI)

    Sampo plc, stock exchange release, 16 October 2024 at 8:30 am EEST

    Sampo plc’s share buybacks 15 October 2024

    On 15 October 2024, Sampo plc (business code 0142213-3, LEI 743700UF3RL386WIDA22) has acquired its own A shares (ISIN code FI4000552500) as follows:                

    Sampo plc’s share buybacks Aggregated daily volume (in number of shares) Daily weighted average price of the purchased shares* Market (MIC Code)
      3,330 41.73 AQEU        
      38,807 41.71 CEUX
      113 41.71 TQEX
      48,183 41.71 XHEL
    TOTAL 90,433 41.71  

    *rounded to two decimals                

    On 17 June 2024, Sampo announced a share buyback programme of up to a maximum of EUR 400 million in compliance with the Market Abuse Regulation (EU) 596/2014 (MAR) and the Commission Delegated Regulation (EU) 2016/1052. On 16 September 2024, the Board of Directors of Sampo plc resolved to increase the share buyback programme to EUR 475 million. The programme, which started on 18 June 2024, is based on the authorisation granted by Sampo’s Annual General Meeting on 25 April 2024.

    After the disclosed transactions, the company owns in total 8,681,816 Sampo A shares representing 1.58 per cent of the total number of shares in Sampo plc, taking the issuance of shares on 16 September 2024 into account.

    Details of each transaction are included as an appendix of this announcement.

    On behalf of Sampo plc,
    Morgan Stanley

    For further information, please contact:

    Sami Taipalus
    Head of Investor Relations
    tel. +358 10 516 0030

    Distribution:
    Nasdaq Helsinki
    Nasdaq Stockholm
    Nasdaq Copenhagen
    London Stock Exchange
    The principal media
    FIN-FSA
    DEN-FSA
    http://www.sampo.com

    Attachment

    The MIL Network –

  • MIL-OSI Australia: Interview with Steve Martin, Ballarat Breakfast, ABC Radio

    Source: Australian Treasurer

    STEVE MARTIN:

    It’s not often that I get to talk to the federal Treasurer, and it’s almost never that the federal Treasurer is sitting across from me in the studio. Jim Chalmers, good morning.

    JIM CHALMERS:

    Thanks for having me on your show, Steve.

    MARTIN:

    Why are you here?

    CHALMERS:

    I’m here because Catherine King invited me, and I go where Catherine King tells me to go. She’s a wonderful local member and Cabinet colleague. But more seriously, I wanted to be here to engage with some of the business leaders but also to spend some time at Ballarat High, which I’ll be doing later on this morning.

    But what we try and do as Cabinet Ministers is make sure that we govern for the whole place, and that means spending time in the wonderful regions of this country, including this beautiful region of yours in Ballarat and the South West.

    MARTIN:

    All right. What are you doing at Ballarat High School?

    CHALMERS:

    I’m going to speak to some of the students about the economy. This is one of the most enjoyable things I get to do as Treasurer. I’ve done a lot of it lately actually, because I like the sense that there’s a lot of intergenerational interest in what’s happening in the world. The world’s a difficult place right now. We’ve got a lot of important decisions to make about the future of our own country in that context, and I find knocking around with young people and taking some really often difficult, always smart, intelligent, well‑motivated questions is a really good thing to do when you’re in communities like this one.

    MARTIN:

    Okay. I want to stick with students at the moment, Jim Chalmers. What do they ask you? What do young people want to know about the economy, and are they, broadly speaking, engaged in that sort of part of the political debate?

    CHALMERS:

    More than they get credit for as a generation. People are incredibly engaged at that level. The main questions I get is what’s happening in the world – Russia, Ukraine, the Middle East – what’s happening closer to home in our own region – China and the US – so a lot of really top shelf questions about what’s happening in the world and where we fit.

    But from an economic point of view, like a lot of Australians, they want to know how are we going to get on top of these cost‑of‑living challenges that people are confronting right around the country, every generation, and in particular, housing. They are a big motivation for the tens of billions of dollars that we’re investing as a government in building more homes so that they can find it easier to find somewhere to rent or buy when the time comes.

    MARTIN:

    Is it right that you’re also going to be having a look at some of the properties involved in the First Home Guarantee while you’re in Ballarat? Is that part of your visit?

    CHALMERS:

    That was in prospect, but not on this occasion. I’m looking forward to doing that, but not on this occasion.

    MARTIN:

    Okay. Cost of living does come up endlessly at the moment because things are tough. Do you think that you have made a difference?

    CHALMERS:

    Definitely –

    MARTIN:

    – in what way –

    CHALMERS:

    – but in saying that, I don’t pretend that the fight against inflation is over. I know that people are still doing it tough even at the same time as inflation by some measures has more than halved since we came to office. But I do understand that for people who are under the pump, they don’t want to be told necessarily that everything is fine when it’s not.

    People are still doing it tough. That’s why the tax cuts are so important, the energy bill relief, cheaper early childhood education, cheaper medicines, rent assistance, getting wages moving again. Really our highest priority as a government has been to try and provide that cost‑of‑living help in the most substantial and meaningful way that we can, but also in the most responsible way that we can, which means doing that as well as, not instead of, delivering those couple of surpluses that we’ve been able to deliver at the same time.

    MARTIN:

    I wonder, with the surplus, I recall when that was announced, and generally that would be considered to be good news politically, but to quote Twitter –

    CHALMERS:

    That’s a dangerous practice, Steve.

    MARTIN:

    I know. I realise that, but the most common response it seems on Twitter is, ‘You can’t eat a surplus.’ So while people think that’s great at one end things are happening, but at the business end for most of us it’s not filtering through.

    CHALMERS:

    I’m really grateful you raised that, because we don’t see a surplus as an end in itself either. The fact that we’ve been able to deliver back‑to‑back surpluses for the first time in almost 2 decades in this country is not an end in itself, it’s how we make room to provide all of that cost‑of‑living relief that I just ran through. It’s how we make sure we avoid paying too much interest on all that debt we inherited from our predecessors.

    Also in the context where the global economy is really uncertain, we want to get the budget in much better nick as a bit of a buffer against that global economic uncertainty, because if things do turn down then we want to have more room to respond if we need to. So those are the reasons for the surplus.

    I say to those people who raise that issue that you’ve raised from social media, but I get it out and about in communities like this one, if we were choosing between a surplus or cost‑of‑living help, I would understand that. But we’ve found a way, because of our responsible economic management, to deliver surpluses and cost‑of‑living help, and we think that’s a good thing.

    MARTIN:

    All right. On the SMS Bea has sent this through. As I say, ‘Morning, Steve. Would you ask Jim Chalmers, please, how can we justify $360 billion on a few submarines and $600 million on a PNG rugby league team but struggle to find money to increase mental health services to adequately address demand?’

    CHALMERS:

    Thank you, Bea, for the question and for listening. I think in every budget you’ve got to find room for all of those things. There is mental health funding, of course, in the Budget. There is national security and defence funding. We are interested in investing in our region, particularly when you’ve got all of this global uncertainty, conflict around the world and economic uncertainty around the world, including closer to home. Some of those investments I know, Bea, can be contentious but we think we’ve broadly struck the right balance – huge investments in health at the same time as we invest in our national defence and national security.

    MARTIN:

    All right. I want to ask you about an item in the news today, Treasurer, and that is a crackdown on subscription traps and hidden fees. What’s happening there? What’s the plan from the government?

    CHALMERS:

    We want to crack down on dodgy deals so that we can save Australians money if we can and where we can. Most businesses do the right thing and they’ve got nothing to worry about, but there are these traps which we’re seeing more and more of, whether it’s making it hard to cancel a subscription, different fees at different stages of a purchase, when the price goes up while you’re actually making the transaction, requiring consumers to provide more information than is necessary to buy something, when it’s hard for you to contact the person or the business that’s selling you a good or a service.

    There are a bunch of dodgy practices that we are worried about and we want to crack down on them and so we are looking to ban unfair trading practices, and that’s the announcement that we’re making today.

    MARTIN:

    Okay. So that is with Australian Consumer Law?

    CHALMERS:

    Absolutely. We’ll do some consultation, as we always do, but look to bed it down at the beginning or the first half of next year. We get a lot of feedback about this, Steve. I’m sure you do as well on your SMS line and out and about. A lot of people, for good reason they do a lot of shopping online or in other ways, and there’s just been these practices which have sprung up which we think go too far. We don’t want people to be taken for mugs. We don’t want to see these dodgy business practices, and so we’re going to crack down on them.

    MARTIN:

    So that will come into effect next year, after the next federal election effectively?

    CHALMERS:

    We’ve said the first half of 2025, and we’ll do it as soon as we can. But what we’d like to do is we want to make sure there are no unintended consequences and the like, and so we’ll do a little bit of consultation, but we’ve said today that we’re going to ban unfair trading practices, and we’ll spend the next month or 2 consulting on the best way to go about it.

    MARTIN:

    Twelve minutes to the next news at 8. We’re talking with federal Treasurer Jim Chalmers. I did say earlier this morning, I had a text from Jamie Vogels, who’s a Corangamite Shire Councillor, and this is in relation to the transition of dairy country to blue gum timber land and the practices of the Foreign Investment Review Board when they look at this.

    Now, Jamie Vogels’ question to you directly, Treasurer, is: why aren’t we allowed to know the conditions placed by the Foreign Investment Review Board on the $200 million foreign investment by Munich RE into blue gum plantations that’s replacing that dairy country in Simpson and the Heytesbury? It’s causing economic and job losses, from Jamie Vogels. So why can’t a community know what the Foreign Investment Review Board has and does look at, or is that information publicly available? Because that group sounds like they can’t find out why the decision was made to allow this to happen?

    CHALMERS:

    First of all, thanks to Councillor Vogels for raising it. I know this is an issue, and in that very important part of our national economy there’s a lot of economic opportunity. The dairy industry is important to us and the timber industry is important to us as well, and we’ve got to strike the right balance.

    When it comes to the Foreign Investment Review Board process, we try and be as transparent as we can about the process. But often the fine details for – whether it’s commercial in confidence or other kinds of reasons – often those are kept confidential. So I’ll have another look at that case, I’m confident that we would have provided all of the information that we can. I’m not anticipating that we can provide additional information, but if we can after I have another look, then I’ll do that.

    MARTIN:

    The community concern, though, Treasurer, is that you’ve got prime agricultural land, not just for dairy; it could be used for other things. You have farm workers, you have houses, you have all sorts of activity going on. And when the trees come in, as much as they are needed, in this sort of land where smaller holdings are more common, you’re losing a community because the trees go in and there’s not nearly as many people moving around. Is that social effect on an area looked at by the FIRB?

    CHALMERS:

    It looks at the broader national interest and to be up front with you, typically the focus is more on, national security concerns or concerns around concentration or concerns about one company or another dominating a certain market, and so there are a range of considerations, including the ones that you raise. But primarily, typically, the advice that comes to me, including in this case, the Department of Agriculture was consulted and didn’t raise any issues with this particular transaction, we cast a pretty broad net, but typically the advice is more about managing risks in areas like critical minerals, critical infrastructure, critical data.

    MARTIN:

    Just finally on this, the member for Wannon did ask for a moratorium on additional land being purchased for expansion of the timber industry until some of the concerns raised in the petition he tabled are addressed. Will you consider that, or is the government even looking at that for a moment?

    CHALMERS:

    I think the Agriculture Minister, Julie Collins, is a wonderful colleague of ours. She looks at these sorts of issues all of the time. We know that there are contentious issues in farming communities and we know as our economy changes and demand for different goods change over time that often difficult issues like this pop up. So Julie Collins, being the diligent minister that she is, would have these sorts of considerations in front of her from time to time.

    MARTIN:

    All right. Just on other more general things, I notice that a number of banks are factoring in a rate cut for December. What’s your take on that?

    CHALMERS:

    I try not to pre‑empt decisions taken independently by the independent Reserve Bank. Treasurers of both political persuasions don’t get into the guessing game about future movements in rates.

    My job is to focus on being helpful in the fight against inflation and we have been. Australia’s made really quite considerable progress when it comes to getting on top of the inflation challenge in our economy, less than half what we inherited on the monthly gauge and that’s a good thing.

    But the Reserve Bank will weigh that up, they’ll weigh up what’s happening in the labour market, what’s happening around the world, and they’ll come to a decision independently in due course.

    MARTIN:

    In Queensland, right. I do wonder, just finally, Treasurer, we’ve been through 30‑odd years of pretty good economic times. It started with Hawke and Keating, continued with Howard and Costello, and then, I guess, governments that have followed haven’t been able or as willing to do as much as those 2 governments did all those years ago. That set us up pretty well. There are older people who say we are back to normal, that the current settings we have are more normal. The long‑term interest rate is 7.4 per cent over – I looked this up yesterday, between ’69 and 2004, that’s the long‑term average interest rate in Australia. So has the community got their expectations too high?

    CHALMERS:

    I wouldn’t say that. I wouldn’t blame the community for that. If you think about that longer sweep of history, yes, Hawke and Keating did a remarkable job setting this place up for 3 decades of economic expansion, absolutely outstanding contribution, history‑making contribution.

    If you think about really since the global financial crisis, we’ve had about 15 years of economic upheaval. The global financial crisis in ’08–09, obviously we had COVID, the war in Ukraine sent supply chains basically haywire around the world, and so we’ve had these 3 shocks in 15 years. And so governments of both persuasions, including this one, have been doing their best to manage the here and now – in our case inflation – at the same time as we invest in the future and that’s why our Future Made in Australia agenda, our housing agenda, energy transformation, skills and human capital are so important.

    But what we need to do and what we are doing is working out what does the next generation of prosperity look like. And it won’t be the same as the one that Bob and Paul set up so skilfully in the 1980s. It’s possible to admire their contribution and recognise ours will be different.

    For us the big thing that we’ll be judged on is nailing this energy transformation. That’s the big economic reform opportunity for our generation. And that’s why we call the 2020s the defining decade in the way that the 1980s were, because the situation calls for a new economy, leveraging all of those traditional strengths that we’ve had and will continue to have into the future, but building new strengths in energy, human capital, technology, services and the like.

    MARTIN:

    All right. I was going to let you go, but since you’ve mentioned the energy transformation, one last quick topic: what do you say to communities in this part of the world that are bearing the brunt of that energy transformation, with transmission lines, with wind farms, with very large‑scale change over a very short period of time to communities that are feeling completely and utterly overwhelmed by circumstances beyond their control?

    CHALMERS:

    We are listening to you. We know that the best version of this energy transformation, which is the opportunity of a lifetime for Australia, including for the regions, requires us to take communities along with us. We understand that.

    MARTIN:

    Well, you’re failing at that, because they’re not coming along with those that are pushing this through.

    CHALMERS:

    We can always do better. And even in the most recent Budget I funded, I think $20 million from memory, for better consultation with local communities because we see this as an opportunity for local communities, including regional communities. We need to make sure that we are listening and bringing people along with us. If we can do a better job of that, we will.

    MARTIN:

    Jim Chalmers, thanks for your time.

    CHALMERS:

    Thanks so much, Steve.

    MIL OSI News –

  • MIL-OSI Australia: Allens advises Spark Infrastructure on $1.8 billion refinancing

    Source: Allens Insights

    Allens has advised Spark Infrastructure, owned by a consortium of Ontario Teachers’ Pension Plan Board, Public Sector Pension Investment Board and funds and/or investment vehicles managed and/or advised by Kohlberg Kravis Roberts & Co. L.P. and/or its affiliates, on a $1.8 billion refinancing along with new hedging strategies related to the expanded debt facility.

    The refinancing brings in funds from a large syndicate of investment banks, commercial banks, and private credit funds throughout the Asia-Pacific region.

    ‘We are pleased to have advised the consortium on the initial acquisition of Spark back in 2021 and now on this significant refinancing. It is yet another example of Australia’s growing attractiveness as an investment destination among Asia-Pacific banks and private credit funds,’ said lead partner Tim Stewart.

    This transaction reinforces Allens’ position as a leader in complex financial advisory, with extensive experience in the regulated utilities sector. 

    Allens legal team

    Banking & Finance

    Tim Stewart (Partner), Brian Kirkup (Senior Associate), Sam Guzman (Lawyer), Cora Fabbri (Lawyer)

    Mergers & Acquisitions 

    Charles Ashton (Partner), Alex Knights (Senior Associate)

    MIL OSI News –

  • MIL-OSI Asia-Pac: Result of tenders of RMB Sovereign Bonds held on October 16, 2024

    Source: Hong Kong Government special administrative region

    The following is issued on behalf of the Hong Kong Monetary Authority:

         Result of the tenders of RMB Sovereign Bonds held on October 16, 2024: 
     

    Tender Result

    *********************************************************************

    Tender Date
    :
    October 16, 2024

    Bonds available for Tender
    :
    2-year RMB Bonds

    Issuer
    :
    The Ministry of Finance of the People’s Republic of China

    Issue Number
    :
    BCMKFB24001 (Further Issuance)

    Issue and Settlement Date
    :
    October 18, 2024

    Maturity Date
    :
    March 15, 2026 (or the closest coupon payment date)

    Coupon Rate
    :
    2.20 per cent

    Application Amount
    :
    RMB 7,626 million

    Issue Amount
    :
    RMB 3,000 million

    Average Accepted Price
    :
    100.68

    Lowest Accepted Price
    :
    100.63

    Highest Accepted Price
    :
    100.91

    Allocation Ratio (At Lowest Accepted Price)
    :
    Approximately 36.36 per cent

    Tender Result

    *********************************************************************

    Tender Date
    :
    October 16, 2024

    Bonds available for Tender
    :
    3-year RMB Bonds

    Issuer
    :
    The Ministry of Finance of the People’s Republic of China

    Issue Number
    :
    BCMKFB24002 (Further Issuance)

    Issue and Settlement Date
    :
    October 18, 2024

    Maturity Date
    :
    March 15, 2027 (or the closest coupon payment date)

    Coupon Rate
    :
    2.28 per cent

    Application Amount
    :
    RMB 8,799 million

    Issue Amount
    :
    RMB 3,000 million

    Average Accepted Price
    :
    101.14

    Lowest Accepted Price
    :
    101.01

    Highest Accepted Price
    :
    101.37

    Allocation Ratio (At Lowest Accepted Price)
    :
    Approximately 27.05 per cent

    Tender Result

    *********************************************************************

    Tender Date
    :
    October 16, 2024

    Bonds available for Tender
    :
    5-year RMB Bonds

    Issuer
    :
    The Ministry of Finance of the People’s Republic of China

    Issue Number
    :
    BCMKFB24003 (Further Issuance)

    Issue and Settlement Date
    :
    October 18, 2024

    Maturity Date
    :
    March 15, 2029 (or the closest coupon payment date)

    Coupon Rate
    :
    2.39 per cent

    Application Amount
    :
    RMB 12,456 million

    Issue Amount
    :
    RMB 2,000 million

    Average Accepted Price
    :
    101.86

    Lowest Accepted Price
    :
    101.72

    Highest Accepted Price
    :
    102.49

    Allocation Ratio (At Lowest Accepted Price)
    :
    Approximately 56.00 per cent

    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: I&T will drive city’s development: CE

    Source: Hong Kong Information Services

    Delivering his 2024 Policy Address, Chief Executive John Lee said today that Hong Kong must harness new quality productive forces and technological innovation as it seeks to achieve high-quality economic development.

    Mr Lee outlined that in its efforts to become an international centre for innovation and technology (I&T), the city is upgrading and transforming traditional industries, while actively nurturing emerging ones. He vowed that no effort will be spared in developing new quality productive forces tailored to local conditions. 

    Measures announced in Mr Lee’s speech include the drawing up of a development plan for new industrialisation, the setting up of a third InnoHK research cluster, a new round of $1.5 billion in funding under the Research Matching Grant Scheme, a revamping of the Government’s approach to I&T investment, and the launch of an I&T Accelerator Pilot Scheme.

    Besides drawing up a medium to long‑term development plan for new industrialisation, Mr Lee said the Government will also press ahead with the establishment of the Hong Kong New Industrialisation Development Alliance. He explained that this will promote closer collaboration among the Government, industry, academia, and the research and investment sectors, expand financing opportunities, and foster I&T co‑operation between newly‑listed companies and local universities.

    In terms of research and development (R&D), Mr Lee highlighted that preparatory work is underway to establish a third InnoHK research cluster. He mentioned that the existing two such clusters are now home to about 2,500 R&D personnel from Hong Kong and around the world, and iterated that the new cluster will focus on advanced manufacturing, materials, energy and sustainable development. 

    In addition to the new round of funding under the Research Matching Grant Scheme, which encourages organisations to support research endeavours by institutions, Mr Lee pledged that the Government will increase its own investment in I&T industries and guide more market capital to invest in the sector. This will include setting up a $10 billion I&T Industry‑Oriented Fund, a “fund of funds” that will channel market capital to invest in emerging industries of strategic importance, including life and health technology, AI and robotics, semi‑conductors and smart devices, advanced materials, and new energy.

    The Chief Executive added that $1.5 billion from the Innovation and Technology Venture Fund will be redeployed to set up funds that will invest – jointly with the market, on a matching basis – in start‑ups operating in strategic industries. Meanwhile, the Hong Kong Investment Corporation will continue to channel and leverage market capital to attract I&T enterprises to establish operations in Hong Kong.

    Announcing plans to allocate $180 million to establish an I&T Accelerator Pilot Scheme, Mr Lee said it will offer institutions government funding on a one-to-two matching basis, with a subsidy ceiling of $30 million. He explained that the scheme will attract professional start‑up service providers to set up accelerator bases in Hong Kong, thereby fostering the robust growth of start‑ups.

    Mr Lee also outlined plans to unlock the potential of Hong Kong’s low-altitude airspace economy. A working group led by the Deputy Financial Secretary will be established to formulate development strategies and action plans for this issue, and will collaborate with Mainland authorities in exploring the joint establishment of low‑altitude cross‑boundary air routes, as well as immigration and customs clearance arrangements. It will also carry out studies and make plans for the establishment of effective systems, networks and infrastructure for managing low-altitude activities.

    With regard to Low Earth Orbit satellites, Mr Lee announced that the Government will conduct a study aimed at streamlining vetting procedures in relation to licence applications for their operation. He also revealed that the Government will set up a research centre to participate in the Chang’E‑8 lunar mission.

    In relation to new energy development, around $750 million under the New Energy Transport Fund will be earmarked to subsidise the taxi trade and franchised bus companies to purchase electric vehicles, and to launch the Subsidy Scheme for Trials of Hydrogen Fuel Cell Electric Heavy Vehicles.

    Mr Lee added that the Government will speed up the reduction of carbon emissions by setting a target for sustainable aviation fuel (SAF) consumption, and formulate a long-term plan for the development of SAF and green maritime fuel supply chains. Furthermore, it will support industry in establishing a solar-to-hydrogen demonstration facility, and introduce a bill next year to ensure the safe use of hydrogen fuel. 

    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: Enhancement measures on New Capital Investment Entrant Scheme

    Source: Hong Kong Government special administrative region

         â€‹As announced in the 2024 Policy Address, with effect from October 16, 2024, an applicant under the New Capital Investment Entrant Scheme (New CIES) is allowed to invest in residential properties, provided that the transaction price of a single property must be HK$50 million or above. The total investment amount in real estate (the aggregate of all residential and non-residential properties) that counts toward fulfilling the minimum investment threshold is subject to an aggregate cap of HK$10 million.

         Invest Hong Kong has updated the Rules for the New CIES and relevant application documents. Details can be found on the New CIES website (www.newcies.gov.hk/en/resources/scheme-rules-and-documents).

         With regard to the details of allowing investment made through an eligible private company wholly owned by the applicant to be counted toward the value of permissible investment with effect from March 1, 2025, Invest Hong Kong will make a further announcement later.

         For more information of the eligibility criteria and relevant details, please visit the New CIES website (www.newcies.gov.hk/en). For enquiries, please call the enquiry hotline at 3904 3001 or email to newcies@investhk.gov.hk.

    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: Govt intensifies super hub strategy

    Source: Hong Kong Information Services

    While delivering the 2024 Policy Address, Chief Executive John Lee announced today that the Government has made meticulous plans to strengthen Hong Kong’s position as an international hub for trade, aviation and legal services.

    He called attention to the reason behind why his administration is building a high value-added supply chain services centre to serve the Mainland and overseas enterprises, and facilitate their establishment of an offshore trading headquarters in Hong Kong.

    “Hong Kong is home to a deep pool of talent and extensive networks in offshore trading and supply chain management, including production chain management, export credit risk management, trade financing, marketing, testing and certification, accounting and other professional services.”

    He explained that Invest Hong Kong and the Trade Development Council will set up a mechanism and enhance the interface for attracting Mainland enterprises to establish international or regional headquarters in Hong Kong, providing one-stop, diversified professional advisory services for enterprises in Hong Kong looking to go global.

    In an effort to provide greater export protection for enterprises, Mr Lee stated that the Government plans to raise the statutory maximum indemnity percentage of the Hong Kong Export Credit Insurance Corporation to 95%. It also encourages the China Export & Credit Insurance Corporation to establish a presence in Hong Kong.

    Another goal includes actively promoting the development of a headquarters economy to bring strategic enterprises from outside Hong Kong and extending the validity period of multiple-entry visas to the Mainland for foreign staff of companies registered in Hong Kong to up to five years.

    Additionally, Mr Lee described the Government’s aim of promoting electronic trade financing.

    “The Hong Kong Monetary Authority (HKMA) is experimenting with tokenised electronic bills of lading through its Project Ensemble Sandbox. The goal is to lower fraud risks through the better use of technology and to facilitate the provision of trade financing by financial institutions.

    “The HKMA will work with other jurisdictions on a pilot basis to develop mechanisms for trade information transmission, promoting cross-boundary data transfers and the digitalisation of international trade.

    “It will also allow potential stablecoin issuers to test blockchain use cases, including solutions for cross-boundary payments through the stablecoin issuer sandbox.”

    He added that to enhance financial services with data, the HKMA expects to connect its Commercial Data Interchange with the system of the Land Registry next year to facilitate enhancement of banking services through the better use of data.

    In addition to developing the European and American markets, the Chief Executive stressed that the Government will continue to expand Hong Kong’s economic and trade networks, especially with Belt & Road (B&R) countries.

    It will do so by further opening up trade in services with the Mainland so as to attract more Hong Kong start-ups, overseas enterprises, and talent from around the world to establish their presence in Hong Kong to tap the Mainland market.

    Mr Lee noted that another goal calls for reinforcing the interface of trade mechanisms.

    “We will continue to seek early accession to the Regional Comprehensive Economic Partnership. We are also in investment agreement negotiations with Bangladesh and Saudi Arabia, and plan to begin negotiations with Egypt and Peru.”

    To promote liquor trade and boost the development of high value-added industries including logistics and storage, tourism as well as high end food and beverage consumption, the Government will, starting today, reduce the duty rate for liquor with an import price of over $200 from 100% to 10% for the portion above $200, while the duty rate for the portion of $200 and below, as well as liquor with an import price of $200 or below will remain unchanged.

    With the Three-Runway System set to be completed this year, Mr Lee highlighted that Hong Kong’s status as an international aviation hub will be further accentuated.

    He made it clear that Hong Kong will fully utilise the capacity of the Three-Runway System.

    “The Government will step up efforts in expanding our aviation network by supporting Hong Kong International Airport (HKIA) to explore new destinations and flights, particularly enhancing co-operation with civil aviation counterparts from B&R countries.

    “In parallel, we will combine the strengths of our airport and Zhuhai Airport to improve the Fly-Via-Zhuhai-Hong Kong direct passenger service and jointly develop international air cargo business for greater synergy.”

    Mr Lee lauded the endeavour of expanding the scale of the Airport City to build a world-leading new landmark.

    “The Government will plan with Airport Authority Hong Kong (AAHK) for expanding the scale of the Airport City by more than double, building a new, world-leading landmark in the Greater Bay Area among the Airport Island, the Hong Kong Port Island of the Hong Kong-Zhuhai-Macao Bridge and Tung Chung East New Town.

    “New projects will be developed to promote high-end commercial, tourist and leisure activities. These include creating an ecosystem for the arts industry, building the AsiaWorld‑Expo Phase 2, developing a yacht bay with ancillary facilities, opening a food market for imported fresh food and providing more public spaces.”

    One more important objective of the Government is to expand cargo capacity through the bay area and enhance advantages of the air cargo industry, Mr Lee stated.

    “AAHK is pressing ahead in full steam with the innovative development of a sea-air intermodal cargo‑transhipment mode in collaboration with Dongguan. The initial stage of first-phase construction for the permanent logistics park in Dongguan, the HKIA Dongguan Logistics Park, will be completed by the end of next year, and the cargo-handling capacity will progressively reach one million tonnes per annum.

    “Advance planning will be made to commence the second-phase development, introducing more high value-added logistics, cross-boundary e-commerce and courier service facilities.”

    While expounding on the Government’s consistent work to promote Hong Kong as a regional centre for international legal and dispute resolution services, the Chief Executive specified that training for international legal talent will commence and promotion of mediation services will be stepped up.

    “The International Organization for Mediation will have its headquarters set up in Hong Kong upon adoption and entry into force of the relevant international convention. The Government will enhance the system on local accreditation and disciplinary matters of the mediation profession to further strengthen our role as an international mediation centre.”

    Apart from incorporating mediation clauses in government contracts and encouraging private organisations to make reference to and adopt such clauses, Mr Lee stated that the Pilot Scheme on Community Mediation will also be launched to offer more training opportunities for promoting a mediation culture.

    As an added bonus, he revealed that the Government is thinking about developing a sports dispute resolution system.

    “With the development of sports activities and industry, sports disputes have become increasingly complicated. We will explore establishing a sports dispute resolution system and promote sports arbitration, leveraging the institutional advantages of Hong Kong in dispute resolution.”

    MIL OSI Asia Pacific News –

  • MIL-OSI: Virtune announces its collaboration with Polkadot, aimed at achieving extensive visibility and awareness of its Virtune Staked Polkadot ETP in the Nordics

    Source: GlobeNewswire (MIL-OSI)

    Stockholm, October 16th, 2024 – Virtune, a Swedish regulated digital asset manager and issuer of crypto exchange-traded products (ETPs), is announcing a collaboration with the Polkadot Network, funded through the Polkadot OpenGov Decentralized Treasury. Through this partnership, Virtune aims to promote and raise awareness of its Virtune Staked Polkadot ETP throughout the Nordics. Since its inception, Virtune has rapidly grown in the Nordic market, earning recognition for its educational initiatives, regulated status, and transparency.

    The company has also swiftly expanded its product portfolio. One of these products, Virtune Staked Polkadot ETP, was listed on Nasdaq Stockholm on January 10, 2024. The product is 100% physically backed by DOT and offers investors exposure to Polkadot through a regulated structure, along with the benefits of staking, providing an additional 4% annual yield before fees on top of Polkadot’s own performance. It is accessible for both institutional and retail investors in Sweden, Finland, Norway and Denmark through banks and brokers, including Avanza and Nordnet, among others.

    About Polkadot
    Explore the transformative potential of Polkadot, the next-generation blockchain platform designed to power a fully interconnected digital future. Polkadot stands out by enabling seamless interoperability across various blockchains, allowing for secure message and value transfers without relying on third parties.

    About Virtune Staked Polkadot
    Virtune Staked Polkadot ETP provides exposure to Polkadot with enhanced returns through staking. This product includes secure and efficient staking directly from cold-storage with Virtune’s custodian Coinbase, with staking rewards providing 4% annual yield continuously being added to the ETP which is reflected in the daily price of the ETP.

    • 1:1 exposure: Easy and secure 1:1 exposure to Polkadot
    • Passive Income: Earn staking rewards from the included staking without any efforts required
    • Security: Non-custodial staking from cold-storage, the DOT tokens are never sent to any third party
    • Liquidity: The product can be traded freely without lock-up periods
    • Physical backing: Fully backed by DOT stored securely with Virtune’s custodian Coinbase
    • Regulated and accessible: Traded on a regulated market in the form of Nasdaq Stockholm as straightforwardly as trading a stock and can be held in ISK or capital insurance accounts for tax benefits

    About staking
    Staking is the process of actively participating in transaction validation on a blockchain that uses a proof-of-stake (PoS) consensus mechanism. Participants lock up a certain amount of crypto assets to support the network’s security and operations. In return, they earn rewards in the form of additional crypto assets.

    Polkadot OpenGov
    Polkadot OpenGov is a fully decentralized governance system designed to serve the Polkadot Network and all holders of the DOT token, Polkadot’s native crypto asset. Within OpenGov, any DOT holder can submit a referenda (proposal) requesting funds from the Polkadot Treasury to aid the ecosystem’s evolution and growth. The fate of each proposal is determined by a vote from all DOT token holders. OpenGov allocates its Treasury Funds, which are accumulated through worldwide network usage, to proposals that are successfully submitted and approved by the Polkadot community.

    Christopher Kock, CEO of Virtune:
    “Following a long and collaborative process with Polkadot Opengov, we are both pleased and humbled to have earned the trust of the Polkadot community to lead Polkadot adoption in the Nordic financial market. We recognize a significant knowledge gap in this region regarding Polkadot’s great capabilities, and we are committed to bridging this gap through a comprehensive campaign. This campaign will include educational content, as well as outdoor and digital advertising, and events aimed at educating about Polkadot’s fundamentals and the opportunities it presents, particularly how investments can be made into Polkadot’s native token DOT combined with staking rewards via a regulated exchange-traded product. We launched our Virtune Staked Polkadot earlier in 2024, and we are encouraged by the growing interest from investors across the Nordics.”

    The purpose of the campaign
    The goal of this campaign is to enhance awareness of Polkadot’s technology, its potential, and its suitability as an investment when integrated into traditional portfolios. Through the campaign and Virtune’s regulated exchange-traded product, Virtune Staked Polkadot ETP, both institutional and private investors will be informed and enlightened about Polkadot and its vibrant ecosystem, which includes all the projects building on-chain. The campaign aims to attract a significant number of new investors to Polkadot across the Nordics, while also providing educational content about Polkadot to the financial industry.

    The content of the campaign
    The campaign will introduce a new scale of marketing efforts, combining outdoor advertising in high-visibility areas such as Stockholm’s financial district, subway stations, and the Arlanda Express, among other prominent locations. This approach is designed to significantly boost the visibility of Polkadot and Virtune’s Staked Polkadot ETP. In addition, digital advertising will feature Polkadot across various digital channels. Furthermore, the campaign will include large-scale events focused on educating attendees about Polkadot both as a blockchain technology and as an investment opportunity.

    The campaign aims to showcase a range of dynamic technologies that demonstrate Polkadot’s valuable role in the evolution of web3, where it has made significant strides. Polkadot is exhibiting substantial progress in various sectors, including gaming, with companies like Mythical Games migrating their platforms to the Polkadot blockchain. Furthermore, Polkadot supports fast and cost-effective transactions with stablecoins and is continuing to show its strengths in other emerging areas within decentralized finance, real-world assets, data storage, and artificial intelligence (AI).

    Press contact

    Christopher Kock, CEO Virtune AB (Publ)
    Christopher@virtune.com
    +46 70 073 45 64

    Virtune with its headquarters in Stockholm is a fully regulated Swedish digital asset manager and issuer of crypto exchange traded products on regulated European exchanges. With regulatory compliance, strategic collaborations with industry leaders and our proficient team, we empower investors on a global level to access innovative and sophisticated investment products that are aligned with the evolving landscape of the global crypto market.

    Cryptocurrency investments are associated with high risk. Virtune does not provide investment advice. Investments are made at your own risk. Securities may increase or decrease in value, and there is no guarantee that you will recover your invested capital. Please read the prospectus, KID, terms at http://www.virtune.com.

    The MIL Network –

  • MIL-OSI Asia-Pac: CE says culture to drive development

    Source: Hong Kong Information Services

    Chief Executive John Lee pledged in this morning’s 2024 Policy Address to promote the integrated development of culture, sports and tourism in Hong Kong, and to foster economic diversification in the city.

    Mr Lee shared plans to enhance Hong Kong’s cultural soft power, promote sports development, build Hong Kong into a centre for international sports mega-events, and revitalise the city’s tourism industry. He also outlined initiatives to support small and medium enterprises (SMEs), develop the “silver economy”, and promote the sustainable development of Hong Kong’s agriculture and fisheries industries.

    The Chief Executive said that in order to enhance Hong Kong’s role as the world’s East-meets-West centre for international cultural exchange and boost its cultural confidence, the Government would deepen institutional reforms to the city’s cultural system, and improve its cultural and economic policies.

    Updating the community on the formulation of the Culture, Sports and Tourism Bureau’s (CSTB) Blueprint for Arts and Culture and Creative Industries Development, Mr Lee said the CSTB is due to consult the Culture Commission on it and will promulgate the blueprint later this year.

    He added that the Cultural and Creative Industries Development Agency, established in June, is incubating cultural and creative projects with potential for commercialisation through the CreateSmart Initiative, and facilitating more registration of cultural and creative products on the Asia IP Exchange Portal. It is also turning Hong Kong Fashion Design Week into an annual signature event, with a view to establishing Hong Kong as a fashion design hub. 

    Mr Lee also iterated that the West Kowloon Cultural District (WKCD) Authority is taking the lead on establishing an industry chain for Hong Kong’s arts, cultural and creative industries. He reported that it will promote the creation of a comprehensive arts trading ecosystem; host more major international cultural, creative and commercial events; export more performing arts programmes and exhibitions to the Mainland and overseas on a commercial basis; and brand the WKCD as a must-visit cultural landmark in collaboration with the Hong Kong Tourism Board (HKTB). 

    On sports development, Mr Lee said the Government will continue to promote sports in the community, support elite sports, enhance the professionalism of Hong Kong athletes and sports teams, maintain Hong Kong as a centre for major international sports events, and develop sports as an industry.

    He mentioned that the Hong Kong Sports Institute is reviewing the mechanism for direct financial support of athletes, including those with disabilities, and has set up a committee to oversee the development of sports medicine and sports science. He added that the Government will provide more sports and recreational facilities, including a new swimming complex suitable for hosting international competitions and a new sports arena with fencing facilities.

    In terms of sports governance, the Sports Federation and Olympic Committee of Hong Kong, China will conclude its review of the governance and operation of national sports associations (NSAs). Mr Lee also outlined that the Government aims to develop Hong Kong as a host city economy and will make use of the new Kai Tak Sports Park (KTSP) and other existing venues to host large-scale international competitions so that Hong Kong athletes and teams can compete on home soil.

    He added that the KTSP, due to open in the first quarter of 2025, will boost sports development and foster the synergistic development of major sports events, innovative entertainment, dining, conventions and exhibitions, and tourism activities.

    With regard to tourism, the Chief Executive said the CSTB will publish its Development Blueprint for Hong Kong’s Tourism Industry 2.0 later this year. It will cover areas such as the development of eco-tourism, and the enhancement of tourism-support measures to encourage more visitor arrivals from the Middle East and Southeast Asia. There will also be efforts to create tourism products around specific themes, such as yachting, pandas and horse racing, build the city’s mega-event tourism economy, promote gastronomy tourism and cruise tourism, and develop “smart tourism” through the application of technologies such as AI (artificial intelligence).

    In addition, Mr Lee said the Government will set up a Working Group on Developing Tourist Hotspots to co-ordinate with the community and develop new tourist hotspots in various districts. It has also proposed to the central authorities that the “multiple-entry” Individual Visit Endorsements for Shenzhen residents be resumed and that the “one trip per week” Individual Visit Endorsements pilot scheme be expanded to cover more cities.

    Mr Lee added that starting from today the Government has relaxed the criteria for nationals of Cambodia, Laos and Myanmar in applying for multiple-entry visas for travel or business, and extended the validity period of the visas offered from two years to three.

    The Chief Executive also unveiled a number of support measures to address challenges encountered by SMEs. These include re-launching the principal moratorium, meaning that enterprises that borrow under the SME Financing Guarantee Scheme will be allowed to apply for a principal moratorium for up to 12 months. Existing loans already granted under the 80%, 90% and special 100% guarantee products, as well as new loans under the 80% and 90% guarantee products, will be covered.

    In addition, $1 billion will be injected into the Dedicated Fund on Branding, Upgrading and Domestic Sales to help SMEs upgrade their business operations and develop new markets, and the scope of Cyberport’s Digital Transformation Support Pilot Programme, which offers SMEs funding for digital transformation on a matching basis, will be expanded to cover the retail and food and beverage sectors.

    Mr Lee said the Hong Kong Trade Development Council will formulate plans to set up more Hong Kong Pavilions at Mainland and overseas exhibitions, while an additional provision of $500 million will be allocated for the launch of the Incentive Scheme for Recurrent Exhibitions 2.0, which aims to attract large-scale international exhibitions to Hong Kong.

    In terms of the development of a silver economy, the Chief Executive said new products and services must be developed in response to the rapid expansion of the elderly market. The Government will set up a “Working Group on Promoting Silver Economy”, led by the Deputy Chief Secretary, to implement measures to boost elderly-related consumption and support elderly consumers.

    Mr Lee reported that the Government will also take forward the Blueprint for the Sustainable Development of Agriculture and Fisheries.

    MIL OSI Asia Pacific News –

  • MIL-OSI Economics: Asian Development Blog: Five Strategic Steps to Unlock Armenia’s Data Center Potential for Economic Growth

    Source: Asia Development Bank

    Armenia’s data center industry offers significant opportunities for economic growth, with strategic reforms in regulation, financing, and technological innovation playing crucial roles. Addressing infrastructure challenges and fostering public-private partnerships will help position Armenia as a regional digital hub.

    Armenia is poised for a digital transformation with the development of its data center industry. This sector holds promise for the country’s digital economy. 

    Key opportunities such as regulatory considerations, financing strategies, and the need for technological advancements must be embraced to leverage this industry for economic growth and digital innovation.

    Armenia’s strategic location, coupled with its growing tech-savvy population and vibrant ICT ecosystem, make it a candidate for becoming a regional data hub. However, the current infrastructure and regulatory environment need improvements to attract international investments and foster local innovation. Addressing these issues is important for Armenia to unlock its potential.

    The development of Armenia’s data center industry presents a unique opportunity for the country to enhance its digital presence and drive economic growth.

    To overcome these challenges, five steps can be taken:

    Regulatory Reforms: Streamlining regulations to facilitate easier entry and operation for data center companies. Simplifying the process for obtaining necessary permits and licenses, as well as creating a more transparent and predictable regulatory framework, can create a more business-friendly environment that attracts both local and international investors.

    Financial Incentives: Providing financial support and incentives to attract investments in the data center sector. This could involve infrastructure support and sustainability incentives to companies that invest in building and operating data centers in Armenia. Additionally, exploring the establishment of public-private partnerships to share the financial risks and rewards of developing this critical infrastructure is essential. 

    Technological Upgrades: Investing in advanced technologies to enhance the efficiency and sustainability of data centers. This includes adopting energy-efficient cooling systems, utilizing renewable energy sources, and implementing cutting-edge data management and security solutions. Staying at the forefront of technological advancements ensures that Armenia’s data centers are competitive and reliable on a global scale.

    Public-Private Partnerships: Encouraging collaboration between the government and private sector can drive innovation and growth in Armenia’s data center industry. By leveraging the expertise and resources of both sectors, Armenia can accelerate development and build a more resilient digital economy. Successful examples of such partnerships can be seen in countries like the United Arab Emirates, Singapore, and India.

    Capacity Building: Developing a skilled workforce to support the data center industry through training and education programs. Offering specialized courses and certifications in data center management, cybersecurity, and related fields ensures that Armenia has the talent needed to sustain and grow its data center industry over the long term.

    The development of the data center industry in Armenia is not just a local issue; it has broader implications for the region. 

    Successful implementation of these recommendations could position Armenia as a digital hub in Central Asia, attracting international investments and fostering regional cooperation. The ongoing efforts to address these challenges are already showing promising results, with several key players expressing interest in the Armenian market.

    Moreover, the growth of the data center industry in Armenia could have a positive ripple effect on other sectors of the economy. For example, the increased demand for high-speed internet and reliable power supply could spur investments in telecommunications and energy infrastructure. 

    Additionally, the development of data centers could create new opportunities for local MSMEs (such as construction companies, equipment suppliers, and service providers) which are important contributors to economic welfare. 

    Armenia has the potential to become a center for data-driven innovation and research. By attracting leading technology companies and research institutions, Armenia can foster a vibrant ecosystem of innovation that drives economic growth and improves the quality of life for its citizens. This could include initiatives such as smart city projects, digital health solutions, and advanced manufacturing technologies.

    Armenia has a lot of untapped captive renewables that can be harnessed to power these data centers sustainably. By leveraging its abundant solar and wind resources, Armenia can ensure that the growth of its tech sector is both environmentally friendly and economically beneficial. This approach not only mitigates the environmental impact but also positions Armenia as a leader in green technology and sustainable development. 

    While there are many positive aspects to consider, it is also important to address the potential environmental impact of data centers and the importance of sustainable practices in their development. 

    Data centers are known for their high energy consumption and carbon footprint, so it is crucial to adopt green technologies and practices to minimize their environmental impact. This includes using renewable energy sources, implementing energy-efficient cooling systems, and adopting sustainable building practices.

    Additionally, the role of cybersecurity in ensuring the safety and reliability of data centers is another critical area that needs attention. As data centers store and process vast amounts of sensitive information, they are prime targets for cyberattacks. 

    Therefore, it is essential to implement robust cybersecurity measures to protect against data breaches, hacking, and other cyber threats. This includes investing in advanced security technologies, conducting regular security audits, and providing cybersecurity training for employees.

    Continuous innovation and adaptation are crucial for Armenia’s data center industry. To stay competitive, data centers must adopt the latest technologies, including artificial intelligence and machine learning to enhance efficiency, security, and scalability.

    If Armenia successfully addresses these challenges, it could unlock significant economic benefits and position itself as a leader in the digital economy. The future of Armenia’s digital landscape depends on the actions taken today, making it imperative for stakeholders to collaborate and drive the necessary changes.

    The development of the data center industry in Armenia presents a unique opportunity for the country to enhance its digital presence and drive economic growth. By addressing the key challenges and implementing the recommended solutions, Armenia can create a thriving data center industry that benefits not only the local economy but also the broader region.

    MIL OSI Economics –

  • MIL-OSI Security: Operation Narsil disrupts network of child abuse websites designed to generate profits from advertising

    Source: Interpol (news and events)

    3 August 2023

    Tracking the money made by perpetrators and preventing the revictimization of children

    LYON, France — INTERPOL has concluded a two-year global operation to bring to justice criminals operating networks of child sexual abuse websites designed to generate profits from advertising.

    Running from December 2021 to July 2023, Operation Narsil also targeted the finance mechanisms used by the website administrators to conduct their online advertising campaigns.

    Over two years, INTERPOL member countries worked together using INTERPOL’s Worst of List (IWOL), sharing targeted intelligence, pinpointing suspects and coordinating arrests of the people managing the websites.

    Created in 2010, IWOL contains a watchlist of websites containing extreme child abuse material.  The General Secretariat headquarters works with law enforcement in all regions so that national Internet service providers close down these websites.

    “Operation Narsil sends a strong message to the criminals making money from these websites that INTERPOL, and its alliance of police forces in 195 member countries, know where they are, what they are doing, and how to find them,” said Jürgen Stock, INTERPOL Secretary General.

    “Every time a person clicks on these images, they are effectively entering a crime scene. Identifying and removing these websites reduces the availability and potential normalization of online child abuse material, and, most importantly, reduces the re-victimization of the children abused,” added Secretary General Stock.

    Worldwide crime trend

    In one case, a brother and sister, both in their early thirties, were arrested as a result of IWOL digital clues and intelligence provided by the global police community pointing investigators to the suspects in Argentina.

    Investigations by Argentina’s Victim Identification Office in the Anti Cyber Crimes against Minors Division and the Specialised Cybercrime Prosecution Unit (UFECI), working with Federal Courts in Mendoza Province, led to the identification and arrest of the two suspects.

    Fourteen electronic devices were seized from their home as well as cash and credit cards. The siblings are thought to have created, maintained and financially benefitted for more than a decade from websites featuring child sexual abuse material and associated advertising campaigns.

    “Given the technological complexities of this case and the degree to which the criminal activity went undetected, these arrests highlight the importance of police cooperation across regional, national, and international borders,” said the Head of Argentina’s Federal Police, Juan Carlos Hernandez, who also serves as delegate for the Americas on INTERPOL’s Executive Committee.

    Argentina’s Federal Police search electronic devices seized during Operation Narsil for child abuse images

    Officers of Argentina’s Federal Police review materials seized during Operation Narsil

    Argentina’s Federal Police reviewing seized materials

    Officers of Argentina’s Federal Police review visitor statistics to the suspect’s sites

    “With synchronized arrests across continents, this operation confronted global networks that profit from child abuse images and videos. INTERPOL is a strong global network of officers fully committed to putting an end to the online abuse of children, and we applaud the action and incredible results countries have achieved in Operation Narsil,” added Argentina’s Police Chief.

    Local crime, global cooperation

    Working with the Prosecutor’s Office, Bulgarian law enforcement identified and arrested a 34-year-old man who made his living operating an online forum that facilitated the sharing of child sexual abuse materials.

    Bulgarian Police closed the online forum he had been running since 2020 and which is thought to have facilitated access to thousands of media files depicting serious child sexual abuse material.

    Following the arrest, investigations are ongoing to identify forum users.

    In one case during the Russian leg of Operation Narsil, police authorities arrested two 24-year-old citizens for the production and online circulation of materials depicting the sexual violation of minors. Authorities searched the suspects’ homes, seizing computer equipment containing specialized software for creating and administrating websites, and removable hard drives containing child sexual abuse material.

    With the support of US Homeland Security Investigations, Thai police arrested a 45-year-old Thai national for the possession and online distribution of child sexual abuse material. His arrest came after police executed a search warrant at his residence, uncovering large amounts of child sexual abuse material and financial transaction records associated with online distribution of the abuse photos.

    Narsil – meaning a longsword which tackles all evil – is one of the first INTERPOL operations to focus on identifying, locating and arresting the people receiving advertising revenues from website visitors interested in viewing the site’s child sexual abuse content.

    INTERPOL has been monitoring websites disseminating child sexual abuse imagery for more than 13 years and, in collaboration with law enforcement partners across the world, has seized more than 20,000 domains.

    Operation Narsil involved investigations triggered by law enforcement in Austria, Argentina, Belarus, Bulgaria, Canada, Cyprus, Estonia, France, Germany, Italy, Kyrgyzstan, Latvia, Lithuania, Luxembourg, Moldova, Netherlands, New Zealand, Norway, Poland, Romania, Russia, Singapore, Spain, Switzerland, Thailand, United Kingdom and United States.

    MIL Security OSI –

  • MIL-OSI Security: Colombia: Two arrested for live streaming child sexual abuse

    Source: Interpol (news and events)

    Authorities have safeguarded victims aged 19 months, 7 and 9.

    LYON, France – Colombia police have safeguarded three children and arrested their mother and aunt, accused of live streaming the children’s sexual abuse for profit.

    Australian authorities first brought the case to INTERPOL’s attention in December 2022 after finding a video depicting child sexual abuse on the Darknet. The video material was uploaded to INTERPOL’s International Child Sexual Exploitation (ICSE) database, where specialized officers from around the world could consult and analyse it for clues.

    One month later, the United States Federal Bureau of Investigation alerted INTERPOL’s Crimes against Children (CAC) unit to the possible identity of one of the offenders, pinning their likely location as Colombia. The CAC unit confirmed their hypothesis, uncovering a number of clues and prepared a comprehensive victim identification report for Colombian authorities.

    Upon reception and investigation, Colombia’s national police confirmed the location and identity of the children and the two offenders. They found that the mother and aunt had been using specific platforms to produce and sell made-to-order, live sexual abuse video material for ‘customers’ abroad.

    On 22 February, Colombian authorities carried out a coordinated rescue-and-arrest operation, working with child protection services to safeguard the children and ensure they receive medical and psychological care.

    INTERPOL Secretary General Jürgen Stock said, “This appalling case shows that live streaming child sexual exploitation is not confined to any region, it is global, and as in this case, usually involving very young children.

    “We will continue to work with Colombian investigators to analyse seized devices, identify further victims and review data to find the individuals who were ordering and facilitating the horrific abuse from behind their screens,” concluded Secretary General Stock.

    Today the ICSE database links 68 countries and connection of additional countries is ongoing. Since its launch, the database has assisted in the identification and documentation of more than 33,000 victims and 14,900 offenders worldwide.

    MIL Security OSI –

  • MIL-OSI Asia-Pac: Hong Kong Customs detects four seaborne illicit cigarette smuggling cases with seizure worth about $33 million (with photo)

    Source: Hong Kong Government special administrative region

         Hong Kong Customs detected four illicit cigarette smuggling cases from September 25 to October 4. A total of about 7.4 million of suspected illicit cigarettes with an estimated market value of about $33 million and a duty potential of about $25 million in total were seized. 

         Through risk assessment and intelligence analysis, Customs on September 25 selected and inspected a 40-foot seaborne container, arriving from Nansha to Hong Kong and declared as carrying ceramic tiles, at the Tuen Mun River Trade Terminal Customs Cargo Examination Compound. Upon inspection, Customs officers seized about 2.4 million of suspected illicit cigarettes inside the container, and a 68-year-old man suspected to be connected with the case was arrested.

         After a follow-up investigation, Customs on October 2, 3 and 4 further detected three similar cases at the Tuen Mun River Trade Terminal Customs Cargo Examination Compound, where three 40-foot containers, all arriving in Hong Kong from Nansha and declared as carrying food, cardboards and chandeliers respectively, were examined. A total of about 5 million suspected illicit cigarettes were seized therein. Three men, aged between 67 and 68, who were suspected to be connected with the cases were arrested.

         Investigations of the four cases are ongoing.

         Customs will continue its risk assessment and intelligence analysis, and step up enforcement actions to combat cross-boundary illicit cigarettes activities. Smuggling is a serious offence. Under the Import and Export Ordinance, any person found guilty of importing or exporting unmanifested cargo is liable to a maximum fine of $2 million and imprisonment for seven years.

         Under the Dutiable Commodities Ordinance, anyone involved in dealing with, possession of, selling or buying illicit cigarettes commits an offence. The maximum penalty upon conviction is a fine of $1 million and imprisonment for two years.

         Members of the public may report any suspected illicit cigarette activities to Customs’ 24-hour hotline 182 80 80 or its dedicated crime-reporting email account (crimereport@customs.gov.hk) or online form (eform.cefs.gov.hk/form/ced002/).   

    MIL OSI Asia Pacific News –

  • MIL-OSI Russia: Mexico: Staff Concluding Statement of the 2024 Article IV Mission

    Source: IMF – News in Russian

    October 15, 2024

    A Concluding Statement describes the preliminary findings of IMF staff at the end of an official staff visit (or ‘mission’), in most cases to a member country. Missions are undertaken as part of regular (usually annual) consultations under Article IV of the IMF’s Articles of Agreement, in the context of a request to use IMF resources (borrow from the IMF), as part of discussions of staff monitored programs, or as part of other staff monitoring of economic developments.

    The authorities have consented to the publication of this statement. The views expressed in this statement are those of the IMF staff and do not necessarily represent the views of the IMF’s Executive Board. Based on the preliminary findings of this mission, staff will prepare a report that, subject to management approval, will be presented to the IMF Executive Board for discussion and decision.

    Key Messages

    Activity is decelerating. Despite an expansionary fiscal stance, growth is slowing to around 1½ percent this year, due to binding capacity constraints and tight monetary policy. Continuing monetary restraint and slowing activity are expected to lower inflation to Banxico’s 3-percent target by 2025. The current account deficit is expected to widen slightly in 2024 as investment- and consumption-related imports outpace exports. Risks to growth are tilted to the downside while inflation risks remain on the upside. Weaker-than-expected growth in the U.S., an increase in global risk aversion, and unforeseen effects from recent institutional reforms could weigh on output. On the other hand, better-than-expected import demand from the U.S. or the ongoing reshaping of global value chains could boost activity and inward investment.

    A medium-term fiscal strategy is needed to reduce deficits and debt, raise tax revenues, and create fiscal space for investments in human and physical capital. This would require putting in place a comprehensive tax reform early in the new administration, durably reducing the fiscal deficit while carefully prioritizing public spending, and reducing inequities in the pension system. Addressing the imbalances between the federal budget and Pemex, and enhancing corporate governance of the latter, are also important priorities.

    The ongoing reshaping of global value chains offers the incoming administration an important opportunity to deepen the already-strong economic links with the U.S. Taking advantage of these prospects, however, requires a wide-ranging set of supply-side reforms to complement the well-established, very strong institutional framework for macroeconomic policies. Regulatory reforms, better-targeted public investment that further relieves infrastructure bottlenecks, broader access to financial services, and a more predictable supply of energy and water would all support private sector-led growth. Other priority measures include governance reforms that address corruption and tackle organized crime.

    Recent judicial reforms create important uncertainties about the effectiveness of contract enforcement and the predictability of the rule of law. The replacement of judges at various levels of the judiciary in the coming year creates a new source of uncertainty that may impinge upon private investment decisions. It is critical that this reform be implemented in a clear and predictable way that ensures the independence and professionalism of the judiciary and strengthens the rule of law. Staff’s current baseline does not incorporate potential headwinds from these uncertainties.

    Fiscal Policy

    The authorities are committed to achieving their 2024 fiscal target. The overall deficit for the year is currently projected to be 5.9 percent of GDP, a fiscal impulse of around 2 percent of GDP that is expected to bring gross public sector debt close to 58 percent of GDP by end-2024. Increased spending on large infrastructure projects, wages, pensions, and social spending are all adding to fiscal support for the economy. There is, however, a risk that additional support for Pemex and/or greater-than-expected spending on infrastructure projects could lead to a modest fiscal overrun by end-year.

    Mexico needs to put in place a credible medium-term fiscal consolidation underpinned by well-identified policy measures. The incoming authorities’ plan to initiate an important fiscal consolidation in 2025 that should lower the deficit to below 3 percent of GDP over the medium term, underscoring Mexico’s commitment to fiscal prudence. This will require the identification and implementation of additional fiscal measures, preferably including an overarching tax reform. In particular, the 2025 budget should focus on reducing tax expenditures and reassessing both tax rates and thresholds, particularly for the personal income tax. Further expenditure rationalization, including tax exceptions, and improved tax administration would contribute to this needed adjustment and help bolster market confidence.

    A review of policies regarding support for Pemex, and the energy sector more generally, would enhance the credibility of the government’s fiscal plans. Federal government support for Pemex in the form of various tax reliefs, investments, and transfers have cost 1 percent of GDP in 2024. Further support should be conditioned on Pemex developing a viable business strategy and improving its corporate governance. This could include focusing Pemex activities on profitable fields, selling non-core assets, developing a new strategy for unprofitable refinery operations, and incentivizing public-private partnerships (including via equity participation). The strategy should also examine the implications for, and linkages with, the federal electricity company.

    More is needed to address structural inequities in the pension system. Public pension spending has increased by 0.6 percent of GDP over the past three years and will continue to rise over the medium term. While the recent reform to raise the replacement rate,aimed to equalize treatment across workers, inequities remain between and within cohorts. A broader review is therefore needed of the benefit structure and the minimum contribution requirement.

    Further deepening of financial intermediation would make growth more inclusive. The recent development of fintech products and digital payments have expanded access to financial products. In addition, financial regulations that lower loan-loss provisioning for female borrowers have increased women’s access to credit. These efforts could be complemented by expanding the adoption of digital payment systems and eliminating institutional barriers to entry for new products and entities that are deemed to be financially sound.

    The IMF staff team would like to thank the Mexican authorities and other counterparts for their support, hospitality, and constructive discussions.

     

    Table 1. Mexico: Selected Economic, Financial, and Social Indicators

    I. Social and Demographic Indicators

    GDP per capita (U.S. dollars, 2023)

       13,643.3

    Poverty headcount ratio (% of population, 2023) 1/

         37.0

    Population (millions, 2023)

            131.1

    Income share of highest 20 perc. / lowest 20 perc. (2022)

           8.4

    Life expectancy at birth (years, 2024)

               75.5

    Adult literacy rate (2020)

         95.2

    Infant mortality rate (per thousand, 2023)

    13.6

    Gross primary education enrollment rate (2022) 2/

       102.0

    II. Economic Indicators

    Proj.

    2020

    2021

    2022

    2023

    2024

    2025

    (Annual percentage change, unless otherwise indicated)

    National accounts (in real terms)

    GDP

    -8.4

    6.0

    3.7

    3.2

    1.5

    1.3

    Consumption

    -8.6

    7.1

    4.5

    4.6

    1.0

    0.9

    Private

    -9.8

    8.4

    4.9

    5.0

    1.0

    0.9

    Public

    -0.7

    -0.5

    1.7

    2.1

    1.2

    1.1

    Investment

    -18.3

    11.4

    7.4

    17.8

    4.0

    3.8

    Fixed

    -17.2

    10.5

    7.5

    18.0

    5.0

    3.0

    Private

    -18.6

    12.6

    7.7

    17.6

    5.3

    3.2

    Public

    -5.7

    -3.5

    5.8

    20.9

    3.8

    1.2

    Inventories 3/

    -0.3

    0.2

    0.0

    0.0

    -0.2

    0.2

    Exports of goods and services

    -7.0

    7.1

    8.9

    -7.4

    -0.6

    3.3

    Imports of goods and services

    -12.0

    15.7

    7.6

    5.0

    1.1

    2.3

    GDP per capita

    -9.1

    5.4

    2.9

    2.3

    0.6

    0.5

    External sector

    External current account balance (in percent of GDP)

    2.4

    -0.3

    -1.2

    -0.3

    -0.7

    -0.9

    Exports of goods, f.o.b.  4/

    -9.4

    18.6

    16.7

    2.6

    1.4

    3.6

    Imports of goods, f.o.b. 4/

    -15.9

    32.0

    19.6

    -1.0

    3.0

    4.6

    Net capital inflows (in percent of GDP) 5/

    0.8

    -1.0

    -0.9

    -0.9

    -1.9

    -1.4

    Terms of trade (goods, improvement +)

    0.8

    -1.0

    -3.1

    16.9

    -1.7

    -0.3

    Gross international reserves (in billions of U.S. dollars)

    199.1

    207.7

    201.1

    214.4

    235.0

    244.8

    Exchange rates

    Real effective exchange rate (avg, appreciation +) 6/

    -7.7

    5.9

    5.3

    16.4

    …

    …

    Nominal exchange rate (MXN/USD) (eop, appreciation +)

    -5.9

    -3.2

    5.7

    12.8

    …

    …

    Inflation, Employment and Population

    Consumer prices (end-of-period)

    3.2

    7.4

    7.8

    4.7

    4.5

    3.2

    Core consumer prices (end-of-period)

    3.8

    5.9

    8.3

    5.1

    4.0

    3.1

    Formal sector employment, IMSS-insured workers (average) 

    -2.5

    1.9

    4.3

    3.6

    …

    …

    National unemployment rate (annual average)

    4.4

    4.1

    3.3

    2.8

    3.0

    3.3

    Unit labor costs: manufacturing (real terms, average) 

    10.4

    4.4

    11.8

    -1.3

    …

    …

    Total population 7/

    0.8

    0.6

    0.8

    0.9

    0.9

    0.8

    Working-age population 7/

    1.1

    1.0

    1.1

    1.2

    1.1

    1.0

    Money and credit

    Financial system credit to non-financial private sector 8/

    0.9

    4.2

    10.9

    8.7

    8.0

    7.5

    Broad money

    13.4

    9.5

    7.3

    11.0

    7.8

    7.3

    Public sector finances (in percent of GDP) 9/

    General government revenue

    23.5

    22.9

    24.3

    24.4

    24.2

    23.8

    General government expenditure

    27.8

    26.6

    28.6

    28.7

    30.1

    27.3

    Overall fiscal balance 10/

    -4.3

    -3.7

    -4.3

    -4.3

    -5.9

    -3.5

    Structural primary balance  11/

    0.6

    1.2

    0.9

    1.1

    -1.1

    0.9

    Fiscal impulse 12/

    0.5

    -0.5

    0.2

    -0.2

    2.2

    -2.0

    Gross public sector debt

    58.5

    56.7

    54.1

    53.0

    57.6

    57.9

    Memorandum items

    Nominal GDP (billions of pesos)

    24,087

    26,690

    29,473

    31,772

    34,313

    36,766

    Output gap (in percent of potential GDP)

    -2.8

    -2.0

    0.0

    1.2

    0.6

    -0.1

    Sources: World Bank Development Indicators, CONEVAL, National Institute of Statistics and Geography, National Council of Population, Bank of Mexico, Secretariat of Finance and Public Credit, and Fund staff estimates.

    1/ CONEVAL uses a multi-dimensional approach to measure poverty based on a “social deprivation index,” which takes into account the level of income; education; access to health services; to social security; to food; and quality, size, and access to basic services in the dwelling.

    2/ Percent of population enrolled in primary school regardless of age as a share of the population of official primary education age.

    3/ Contribution to growth. Excludes statistical discrepancy.

    4/ Excludes goods procured in ports by carriers.

    5/ Excludes reserve assets

    6/ Based on IMF staff calculations.

    7/ Based on CONAPO population projections.

    8/ Includes domestic credit by banks, nonbank intermediaries, and social housing funds.

    9/ Data exclude state and local governments and include state-owned enterprises and public development banks.

    10/ The 2020 PSBR is adjusted for some statistical discrepancies between above-the-line and below-the-line numbers.

    11/ Adjusting revenues for the economic and oil-price cycles and excluding one-off items, in percent of potential GDP.

    12/ Negative of the change in the structural primary fiscal balance.
    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Brian Walker

    Phone: +1 202 623-7100Email: MEDIA@IMF.org

    @IMFSpokesperson

    https://www.imf.org/en/News/Articles/2024/10/15/cs-mexico-staff-concluding-statement-of-the-2024-article-iv-mission

    MIL OSI

    MIL OSI Russia News –

  • MIL-OSI Security: Former Owner of ‘The Timepiece Gentleman’ Luxury Watch Consignment Store in Beverly Hills Pleads Guilty to Fraud Charges

    Source: Federal Bureau of Investigation (FBI) State Crime Alerts (b)

    LOS ANGELES – A Los Angeles man who ran a Beverly Hills luxury watch consignment business and was known as “The Timepiece Gentleman” pleaded guilty today to swindling dozens of his customers of out a total of at least $5.6 million.

    Anthony Farrer, 36, formerly of downtown Los Angeles, pleaded guilty to one count of wire fraud and one count of mail fraud. He has been in federal custody since November 2023.

    According to his plea agreement, from November 2022 to November 2023, Farrer used his business – also called “The Timepiece Gentlemen” – to connect purchasers and sellers of high-end watches. In a typical consignment sale, a client would ship a watch to The Timepiece Gentleman and Farrer would take possession of the watch, agreeing to display it at his Beverly Hills store and through online and social media marketing. The items involved in this case included luxury watches by Rolex, Richard Mille, and Patek Phillipe, among others.

    Once the watch was sold, Farrer was supposed to remit the sales proceeds back to the client, minus a consignment fee, which typically was approximately 5% of the sales price. If the watch did not sell within a specific time or for a specified price, Farrer was to return the watch to the client.

    However, instead of remitting watch sales proceeds – or the unsold watches themselves – back to the clients, Farrer sold the client watches and kept the proceeds for himself. He also used client watches – without the client’s knowledge or permission – as collateral for loans that he took out from lenders. 

    When a client asked about the status of a watch on consignment sale, Farrer lied and said that the watch had not yet been sold. In fact, Farrer already had sold the watch or otherwise disposed of it, keeping the funds for his own personal benefit.

    In addition to his consignment sale business, Farrer also purported to purchase watches on behalf of his clients. Typically, a client sent funds to Farrer, often by wire transfers to his bank accounts or through payment processors such as Zelle, for the purpose of Farrer locating and buying a specified watch on the client’s behalf. 

    But in fact, Farrer took the clients’ money and used it for other purposes, including to fund his lavish lifestyle such as buying or leasing luxury automobiles, apartments, and other luxury goods. 

    When a client who had sent him money asked Farrer about the status of a watch purchase, Farrer often sent another watch to the client to tide the client over or lull them into a false sense of security regarding the status of the purchase. Similar to a Ponzi scheme, the other watch Farrer sent to the client often belonged to other clients who had themselves sent him that watch for a consignment sale. These clients were unaware Farrer was using their watches for that purpose, rather than attempting to sell the watches on behalf of the clients.

    In total, Farrer fraudulently obtained money and property belonging to more than 40 victims and caused total losses of at least $5,691,005.

    United States District Judge Josephine L. Staton scheduled a January 31, 2025, sentencing hearing, at which time Farrer will face a statutory maximum sentence of 20 years in federal prison for each count.

    The FBI, IRS Criminal Investigation, and the Beverly Hills Police Department investigated this matter.

    Assistant United States Attorney Joshua O. Mausner of the Violent and Organized Crime Section is prosecuting this case.

    MIL Security OSI –

  • MIL-OSI Security: Former Accounting Chief at Now-Shuttered Girardi Keese Law Firm Pleads Guilty to Embezzling Money From Clients and the Firm Itself

    Source: Federal Bureau of Investigation (FBI) State Crime Alerts (b)

    LOS ANGELES – The former longtime head of the accounting department at the now-shuttered Los Angeles plaintiffs’ personal injury law firm Girardi Keese pleaded guilty today to enabling the embezzlement of tens millions of dollars from the firm’s injured clients and to embezzling money from Girardi Keese itself.

    Christopher Kazuo Kamon, 51, formerly of Encino and Palos Verdes and who was residing in The Bahamas at the time of his November 2022 arrest, pleaded guilty to two counts of wire fraud. 

    According to his plea agreement, from 2004 until December 2020, Kamon was the head of the accounting department at Girardi Keese, a plaintiffs’ personal injury law firm based in downtown Los Angeles. In this position, Kamon worked closely with Thomas Vincent Girardi, 85, formerly a resident of Pasadena but who now resides in Seal Beach, as well as other senior lawyers at the law firm. 

    In December 2020, Girardi Keese’s creditors forced the once-prominent law firm into bankruptcy proceedings. The law firm dissolved in January 2021 and the State Bar of California disbarred Girardi in July 2022. On August 27, a federal jury in Los Angeles found Girardi guilty of four counts of wire fraud. Girardi’s sentencing hearing is scheduled for December 6.

    In addition to supervising the law firm’s accounting department, Kamon oversaw facilitating payment of the law firm’s expenses. Kamon had a duty to keep accurate books and records of Girardi Keese, including accounting of money held in its attorney-client trust accounts. Typically, Girardi determined and directed which clients would be paid, how much they would be paid, when they would be paid, and signed all outgoing checks to clients. Kamon had signatory authority on additional Girardi Keese bank accounts.

    From at least 2010 until December 2020, Girardi and Kamon schemed to defraud Girardi Keese clients out of their settlement money, using the misappropriated funds to pay the law firm’s payroll, the law firm’s credit card bills, and to pay Girardi and Kamon’s personal expenses.

    Specifically, one victim – a Girardi Keese client who suffered severe burns all over his body when a natural gas pipeline exploded in San Bruno, California, in September 2010 – had a $53 million settlement negotiated. This deal was negotiated and agreed to without the client’s prior approval. Per the terms of the settlement, $25 million was invested into an annuity. The remaining $28 million was wired into a Girardi Keese client trust account in January 2013. Girardi, assisted by Kamon, misappropriated, and embezzled that client’s settlement money and used the funds to pay other Girardi Keese expenses and liabilities unrelated to this client, including payments to other law firm clients whose own settlement funds previously had been misappropriated by Girardi and others.

    To prevent the victim from discovering Girardi’s embezzlement, Girardi lied to the client by saying the funds had been transferred into a separate interest-bearing account. In fact, no such transfers had been made and no such interest-bearing account containing these funds existed.

    Girardi and Kamon sent lulling payments to the victim as purported “interest payments” deriving from the purported interest-bearing account. In July 2019, they sent the victim a $2.5 million check, purportedly as disbursement of the victim’s settlement funds. In fact, Girardi and Kamon knew these settlement proceeds belonged to other Girardi Keese clients. Girardi already had spent the victim’s settlement funds through disbursements unrelated to the victim’s case.

    In a separate criminal case, Kamon admitted to running a years-long scheme in which he embezzled Girardi Keese funds for his personal enrichment. From at least 2013 to December 2020, Kamon utilized co-schemers to pose as “vendors” who were providing goods and services to the law firm. Kamon caused the supposed vendors to issue fraudulent invoices to Girardi Keese for goods and services that they purportedly provided to the law firm. 

    Kamon caused Girardi Keese to pay the amounts due on the fraudulent invoices. In fact, the law firm was paying the “vendors” for Kamon’s personal benefit, including for construction projects at his homes in Palos Verdes and Encino.

    According to evidence presented at the recent trial of Tom Girardi, part of Kamon’s scheme involved payments to a female companion amounting to hundreds of thousands of dollars, including a monthly stipend of $20,000, out of the Girardi Keese operating accounts despite the woman having no employment relationship with Girardi Keese.

    United States District Judge Josephine L. Staton scheduled a January 31, 2025, sentencing hearing, at which time Kamon will face a statutory maximum sentence of 20 years in federal prison on each count. Kamon has been in federal custody since December 2022.

    Kamon – along with Girardi and David R. Lira, Girardi’s son-in-law, and a former Girardi Keese lawyer – also faces federal fraud charges in Chicago. Trial in that case is scheduled for March 3, 2025.

    IRS Criminal Investigation and the FBI investigated this matter.

    Assistant United States Attorneys Ali Moghaddas of the Corporate and Securities Fraud Strike Force and Scott Paetty of the Major Frauds Section are prosecuting this case.

    MIL Security OSI –

  • MIL-OSI Security: Oregon Man Found Guilty of Assaulting Law Enforcement with a Weapon and Other Charges During January 6 Capitol Breach

    Source: Federal Bureau of Investigation (FBI) State Crime Alerts (c)

    Ryan Wilson of Oregon was found guilty of assaulting law enforcement with a weapon and other charges related to his conduct during the breach of the U.S. Capitol.

    MIL Security OSI –

  • MIL-OSI Security: Federal Jury Convicts Retired DEA Agent of Conspiracy to Defraud the United States and Conspiracy to Distribute Controlled Substances

    Source: Federal Bureau of Investigation (FBI) State Crime Alerts (c)

    Charity and Disaster Fraud

    Charity fraud scams can come in many forms: emails, social media posts, crowdfunding platforms, cold calls, etc. They are especially common after high-profile disasters. Always use caution and do your research when you’re looking to donate to charitable causes.

    BABY JANE DOE

    Homicide Victim Washington Township, New Jersey December 4, 1986

    Capitol Violence

    The FBI is seeking to identify individuals involved in the violent activities that occurred at the U.S. Capitol and surrounding areas on January 6, 2021. View photos and related information here. If you have any information to provide, visit tips.fbi.gov or call 1-800-CALL-FBI.

    MIL Security OSI –

  • MIL-OSI Security: Rochester Man Pleads Guilty to Secretly Recording Minor Victim in Shower

    Source: Federal Bureau of Investigation (FBI) State Crime Alerts (c)

    ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Gregory M. Brooks, 53, of Rochester, NY, pleaded guilty to receipt of child pornography before U.S. District Judge Frank P. Geraci, Jr. The charge carries a mandatory minimum penalty of five years in prison, a maximum of 20 years, and a $250,000 fine.

    Assistant U.S. Attorney Nicholas M. Testani, who is handling the case, stated that in February 2021, Brooks secretly placed a video camera in a bathroom where he knew that a Minor Victim showered. He positioned the camera to capture naked videos of the Minor Victim entering and exiting the shower. Between February 2021, and August 31, 2023, Brooks received and stored the videos of child pornography captured by the video camera on his cellular telephone.

    The plea is the result of an investigation by the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter, the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia, and the Greece Police Department, under the direction of Chief Michael Wood.

    Sentencing is scheduled for February 6, 2025, before Judge Geraci.

    # # # #

    MIL Security OSI –

  • MIL-OSI Security: Fraudulent Developer Imprisoned for Spending Over $500,000 of Investor’s Funds on Vacations and Mortgage

    Source: Federal Bureau of Investigation (FBI) State Crime News

    Charity and Disaster Fraud

    Charity fraud scams can come in many forms: emails, social media posts, crowdfunding platforms, cold calls, etc. They are especially common after high-profile disasters. Always use caution and do your research when you’re looking to donate to charitable causes.

    BABY JANE DOE

    Homicide Victim Washington Township, New Jersey December 4, 1986

    Capitol Violence

    The FBI is seeking to identify individuals involved in the violent activities that occurred at the U.S. Capitol and surrounding areas on January 6, 2021. View photos and related information here. If you have any information to provide, visit tips.fbi.gov or call 1-800-CALL-FBI.

    MIL Security OSI –

  • MIL-OSI Security: More Indicted in Nationwide Business E-Mail Compromise Scheme

    Source: Federal Bureau of Investigation (FBI) State Crime News

    HOUSTON – A total of seven people in multiple states have been charged in a superseding indictment related to a large business email compromise (BEC) scheme, announced U.S. Attorney Alamdar S. Hamdani.

    Authorities have now arrested Houston resident Amber Bush, 29. She is expected to make her initial appearance before U.S. Magistrate Judge Christina A. Bryan Oct. 15 at 2 p.m.

    The three-count superseding indictment also charges Houston residents Bolaji Okunnu, 30, and Philip Ogbeide Jr., 34, along with Ayodeji Okunnu, 25, Austin; Victor Rubio Jr., 27, and Bougar Robert Linares Soto, 42, both of Los Angeles, California.

    Another Houston resident – Destini Godfrey, 30 – is considered a fugitive and a warrant remains outstanding for his arrest. Anyone with information about his whereabouts is asked to contact the FBI at 713-693-5000.

    All are charged with conspiracy to commit wire fraud and money laundering.

    The BEC scheme involved deceiving victims into sending money to others and causing millions in losses, according to the charges.

    Conspirators allegedly posed as legitimate businesses and fraudulently diverted money from victim bank accounts into accounts they controlled. According to the allegations, they gained access to business email accounts and spoofed email addresses to deceive victims into believing they were making legitimate payments.  

    The superseding indictment indicates fraudulently diverted payments from numerous victims throughout the United States, including a financial services company from Oregon, a township in New Jersey, a demolition company in Texas, a healthcare liability insurance company in Georgia and a nutrition products manufacturer outside Texas.

    Conspirators allegedly used email accounts to request payment for services to be sent to new bank accounts that did not belong to the vendor, according to the charges.

    They allegedly deceived victims into wiring millions to fraudulent bank accounts the conspirators opened instead of actually paying the vendor. The charges further allege conspirators laundered the funds in a manner designed to conceal the source, ownership and control of the funds by quickly transferring the money from the receiving account to other bank accounts they controlled.

    They then withdrew the fraud proceeds incrementally in cash, according to the charges.  

    If convicted, they face up to 20 years in prison on the conspiracy and money laundering conspiracy charges as well as five years for the money laundering and illegal money transmitting charge. Each charge carries a possible $250,000 maximum fine.

    The FBI-Bryan Resident Agency and IRS-Criminal Investigation conducted the investigation with valuable assistance from the Middlesex County District Attorney’s Office and the Edison Police Department in New Jersey and other law enforcement agencies and U.S. Attorney’s Offices throughout the United States. Assistant U.S. Attorneys Belinda Beek and James Hu are prosecuting the case.

    An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.

    MIL Security OSI –

  • MIL-OSI Africa: African Development Bank supports BIASHARA Africa 2024 Business Forum

    Source: Africa Press Organisation – English (2) – Report:

    KIGALI, Rwanda, October 15, 2024/APO Group/ —

    The African Development Bank (www.AfDB.org) has lent support to the Biashara Africa 2024 Business Forum or AfCFTA Business Forum, held from 9-11 October 2024 in Kigali, Rwanda. 

    The meeting, organized by the African Continental Free Trade Area (AfCFTA) (https://apo-opa.co/4h90Ciq), brought together industry leaders, policymakers and government representatives to promote African trade and foster economic growth on the continent. This year’s forum was themed “Dare to Invent the Future of the AfCFTA.” 

    As part of ongoing institutional support to the AfCFTA Secretariat, an African Development Bank delegation to the forum included Acting Director for the Bank’s Industrial and Trade Development department Ousmane Fall, Trade Policy Officer Abou Fall and Trade Facilitation Officer Rachael Nsubuga. 

    During the opening ceremony President Paul Kagame of Rwanda and AfCFTA champion emphasized connectivity across the continent in his remarks. 

    “How well we adapt as Africa to crisis depends on how strongly connected, we are,” Kagame said, urging governments to strengthen governance and institutions to prioritize implementation of AfCFTA protocols on trade in goods, services and movement of people for efficient trade.  

    Fall delivered a statement underscoring the Bank’s commitment to support African member countries through a comprehensive strategy to address investments tacking policy and regulation, corridors infrastructure, technology and connectivity constraints.  

    He noted that the African Development Bank has been very active in addressing access to trade finance as a major impediment to productivity. So far, the Bank has facilitated more than 3,000 trade transactions involving 170 financial institutions in all regional member countries  for a cumulative trade value of over $12 billion since the inception of The Bank Trade Finance Program.  

    Africa accounts for only two percent of global production, although it is most integrated in global value chains, but in the less profitable segments of value chains, Fall said.   

    The Biashara 2024 Business Forum held business exhibitions and side events on diverse topics such as unlocking the trade potential of Africa; trade finance; value chains; partnerships for Africa’s trade; and business to business events. 

    The AfCFTA is the world’s largest free trade area bringing together the 55 countries of the African Union (AU) and eight regional economic communities. The overall mandate of the AfCFTA is to create a single continental market with a population of about 1.3 billion people and a combined GDP of approximately US$ 3.4 trillion. 

    MIL OSI Africa –

  • MIL-OSI Africa: World Future Economy Digital Leaders Summit debuts at GITEX GLOBAL, shaping the future global tech and policy landscape

    Source: Africa Press Organisation – English (2) – Report:

    DUBAI, United Arab Emirates, October 15, 2024/APO Group/ —

    Government officials, global industry leaders and experts gathered in Dubai for the opening day of the World Future Economy Digital Leaders Summit on Monday as conversations began about charting a course for AI Compute-Driven economic transformation.

    GITEX GLOBAL, the world’s largest tech event, got underway at Dubai World Trade Centre (DWTC), as topics on ‘Tech Investment Day’ centred around the next-gen semi-conductors market, which is expected to be valued USD $1 trillion by 2030, and the future of data governance. The mega event is under the theme of ‘Global Collaboration to Forge a Future AI Economy’.

    The World Future Economy Digital Leaders Summit comes at a time where UAE is accelerating its efforts in adopting AI in different sectors. Last year, the country’s AI market was valued (https://apo-opa.co/3zPf3HZ) at USD $3.47 billion. H.E. Abdullah Bin Touq Al Marri, Cabinet Member & Minister of Economy at UAE’s Ministry of Economy, explained the importance of AI and how it is central to the country’s economic future.

    Addressing the audience, he highlighted AI is a major driver for the future and is already impacting our everyday lives whether it is transportation or ordering food but to propel growth even further across different sectors, people and companies need to learn how to enable AI effectively.

    This year’s GITEX GLOBAL has attracted its largest international participation with 40% growth, welcoming new nations to the 44th edition of the showpiece event. Europe has a major presence this week, the biggest in the event’s history with the region’s tech industry projected to grow by 12% by the end of this year.

    Stephane Ouaki, Head of Department at European Innovation Council outlined how the continent is accelerating its tech ecosystem. He said the Council is supporting game-changing innovations, giving entrepreneurs access to opportunities to enhance their knowledge, and learn from other professionals to boost the growth of their businesses which benefits not only economies nationally but also regionally.

    Ignacy Niemczycki, Undersecretary of State Ministry of Economic Development and Technology of Poland, delivered a presentation on how the country is embracing technology. He said: “Our culture is a key pillar in our journey of being a tech leader and we have a stable economy which has been very resilient for the last 30 years.

    “More importantly, there is a real interest in the STEM field – if you ask most people in Poland, their choice would be to become an software engineer and this has created a situation where we have one of the best IT programmers in the world with some great tech entrepreneurs already from Poland.”

    Attendees also heard from Dr. Jaroslaw Kutylowski, the founder and CEO of DeepL a German-leading global language AI company, on how his business utilises large language models (LLMs). He said: “The models that we have been building have all stayed true to our products which has brought us success so far. As the company has been growing, we have been able to invest more into compute technologies and have built a data centre facility in Sweden. However, we need to keep innovating and see what the next step is. If we do not think ahead, we would be in the same position as we are today.”

    Meanwhile, Heman Bekele, who was named TIME’s 2024 Kid of the Year for inventing a potential treatment for skin cancer, shared his inspiring story. He explained how the failures that he experienced in life in producing his innovative soap product has made him a stronger individual and passion has a been a key attribute to his career success so far.

    Taking place at Dubai World Trade Centre (DWTC) until 18 October, GITEX GLOBAL presents its biggest, most international edition in its 44th year, welcoming over 6,500 exhibitors, 1,800 startups, 1,200 investors alongside governments from more than 180 countries.

    GITEX GLOBAL is seamlessly connecting with world’s largest network of tech events with its stellar list including GITEX EUROPE Berlin, GITEX ASIA Singapore, GITEX AFRICA Morocco, and GITEX NIGERIA. These events are fostering collaboration and driving innovation to shape the tech landscape of tomorrow.

    For more information on GITEX GLOBAL 2024 and to secure your passes, please visit http://www.GITEX.com.

    MIL OSI Africa –