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     Following is the speech by the Secretary for Justice, Mr Paul Lam, SC, at the lunch and networking reception titled “Hong Kong – The Common Law Gateway for Saudi Arabia Businesses to China and Beyond” in Riyadh, Saudi Arabia, today (May 19, Riyadh time):

Distinguished guests, ladies and gentlemen,

     Firstly I would like to express my gratitude and to welcome all of you to this networking luncheon organised by the Department of Justice together with other organisations as the MC has just said. I wish just to take the opportunity to say a few things to explain why we are here and what we need to achieve. But let me begin by making one very important point: today’s lunch has a very special meaning to me and to my delegation from Hong Kong because there are many “firsts”.

     This is the first time I lead a delegation consisting of lawyers and members from other business sectors on an overseas trip after I became the Secretary for Justice in July 2022. This is the first “first”. The second “first” is that as to this particular trip to the Middle East, Saudi Arabia is our first destination. So that our first destination is the second “first”. The third “first” is that we just arrived this morning around 3am, some arrived a little later at 4am or 5am. And this particular lunch is in fact the first event for the whole trip including that in Saudi Arabia. So it is going to be very memorable. As there is a Chinese saying, because we have a lot of friends coming from the Mainland China, a good beginning means 50 per cent of your success. So I am truly very honoured and very pleased to see so many guests from Saudi Arabia and also representatives of enterprises, organisations from Mainland China in Saudi Arabia and to come here to join this lunch.

     Now coming to the purpose of this lunch, and perhaps this trip. Obviously, as the minister of justice of Hong Kong, I am trying to tell you a little bit more about the legal service in Hong Kong, what we can offer, but, more importantly, we have to start by making friends. We have to start by building personal relationship. In order to build a personal relationship, the very first thing we need to do is to introduce ourselves.

     My delegation consists of, I don’t remember the exact number, but probably maybe around 40 including all my supporting staff. Now the combination is quite unique. Firstly, we have people coming from the Government, not just from the Department of Justice in which I am working, I am joined by representatives of Invest Hong Kong which is a branch of the Government responsible for promoting investment, colleagues coming from the ETO (Hong Kong Economic and Trade Office) all the way from Dubai, for they are responsible for promoting trade around the world. And then we have representatives from the Hong Kong Trade Development Council which is a statutory body also responsible for promoting trade. So we have numerous organisations trying to work together to enhance Hong Kong’s relationship with other jurisdictions.

     Apart from representatives coming from the Government, we have very strong representatives from the private sector. We have more than around say 15 lawyers who are really the top lawyers in Hong Kong. They specialise in doing both contentious and also non-contention business. We have experts doing IPOs (initial public offerings), M&A (mergers and acquisitions), and we also have experts in arbitration or litigation. So we have whole spectrum of legal eagles in this room. And on top of that, I have also invited representatives from the Hong Kong Stock Exchange and Hong Kong International Arbitration Centre to be here.

     Now you may wonder why instead of simply asking my colleagues to come here, which is much easier to organise this trip, why I have invited so many friends to come here. The reason is very simple, because I wish to demonstrate to people, our friends in Saudi Arabia, that Hong Kong is really an ideal place to provide one-stop professional legal service from the time you think of setting up a business in Hong Kong for exploring opportunities in Mainland China, up to the very end when unfortunately some disputes arise, and then you have to consider where and how to resolve the disputes. We offer a sort of packaged professional services from the very beginning until the very end. And the representatives of this delegation, they are experts at different stages of these whole business cycle, so to speak.

     Now, maybe you have noticed that we have a theme for the talk, and in fact, that is also the theme I am going to use throughout my trip. It goes something like “Hong Kong – The Common Law Gateway for Saudi Arabia Businesses to China and Beyond”. I think “gateway” simply symbolised the fact that Hong Kong is playing a very important role of connecting Saudi Arabia and the Middle East with not just Hong Kong itself. Hong Kong is not just a destination, it is also a springboard or place that can take you to other parts of China so that you can explore opportunities in the whole country.

     Now, what is perhaps a little bit unusual is that I have deliberately add the word “common law” before the word “gateway”. And here comes the important point, because as the person responsible for promoting legal services in Hong Kong, this is really the point that I wish to emphasise at this lunch. Now, why is this so important? Why is it of interest to friends in Saudi Arabia?

     To answer the question, perhaps I have to step back and talk a little bit about the history of Hong Kong. I am sure most of you would be aware of what I am going to say, but it is worth repeating now. I am sure that those of you would be aware of the fact that Hong Kong used to be ruled by the British for more than 100 years between 1842 until June 30, 1997. Now, the important thing is that during this period of British rule, the British introduced the common law system to Hong Kong and that common law system developing for a century has become extremely reputable and well-established. And what happened on July 1, 1997 is that China resumed sovereignty of Hong Kong. China decided to resume sovereignty in a very unique manner which was unprecedented in human history, that is by introducing the concept or principle of “one country, two systems”, which means that Hong Kong shall maintain and preserve its common law system. So we are still using the common law system in Hong Kong, which is entirely different from the civil law system used in other parts of China.

     You may then ask: why is the common law system so significant? How is it relevant to your business or investment interests? Now, I wish to highlight four important characteristics perhaps we ought to bear in mind.

     The first characteristic that I wish to stress is that we have a very trustworthy, very credible, very reliable and reputable judicial system. Under the mini-constitution of Hong Kong, which is called the Basic Law of Hong Kong, the courts of Hong Kong enjoy independent power of adjudication, including the Court of Final Appeal in the power of final adjudication. That means in every litigation of court proceedings in Hong Kong, it always ends in Hong Kong, it never goes beyond Hong Kong.

     And a very special feature that is also worth mentioning is that in our Court of Final Appeal, which is the highest court in Hong Kong, we have invited at the moment 10 overseas judges, very eminent retired judges from other jurisdictions, to sit as our part time judges. A very recent appointment is a retired federal judge from Australia. We also have retired judges from England, from Australia, from Canada. Before their retirement, they used to be the chief justice of their respective jurisdiction. And I think that firstly it is a vote of confidence of judges from other jurisdictions in the legal system of Hong Kong. And secondly, it is a symbol and the indication of the quality of justice that the Hong Kong judicial system can offer. So this is my first point.

     The second point is that the Hong Kong legal system offers a very secure and safe regulatory system to safeguard your financial interests. Under our Basic Law, which a constitutional document, we guarantee private property right. So no one can expropriate your property, not even the government under no circumstances can they take away your property at their own discretion. And then free flow of capital is guaranteed. Money can come in Hong Kong and leave Hong Kong freely. So it is a very, very friendly environment for funds to move in and to move out. But at the same time, we also have a very strict regulatory framework to ensure that misconduct or malpractices will not be permitted. So this is to strike a balance to ensure free flow of capital and at the same time to ensure that your money, your investments and financial interests will be sufficiently protected.

     The other thing is that when it comes to law enforcement, Hong Kong is regarded as one of the cleanest place in Hong Kong. So corruption or other sort of malpractice that might exist in some other places in the world is not an issue in Hong Kong. So putting aside a similar framework in practice, it’s applied and enforced very straightly and properly.

     So then go to my third point. My third point is that our legal system is extremely business friendly. Business friendly in the sense that the content of our law is extremely similar to the civil and commercial law that we found in most other countries, in particular in the western world, say the United States and the UK and western Europe. And the simple reason is because of the common law tradition that I have mentioned. Most of our civil and commercial law, for example company law and contract law, the content is almost identical to what you may have in England, Australia and New Zealand. So the important thing is that our set of law is extremely familiar to the international business community. But at the same time, apart from maintaining our tradition, we try to ensure that our law will be updated to meet the new demands. So very recently we have introduced a new legislation to encourage people to set up, for example, family office in Hong Kong by providing tax advantages. And there are also other measures to ensure that we can provide a very attractive environment at the same time to give you the sort of protection that you deserve. Ms Alpha Lau, the Director-General of Invest Hong Kong, is going to speak after me. I am sure that she can provide more details in this respect.

     But apart from the substantive law, what is equally important is that we have a very strong pool of legal talent in Hong Kong. I mentioned earlier that more than 15 lawyers come with me and that by itself is an evidence on the strength of the legal profession. We have a divided legal profession in Hong Kong consisting of barristers and solicitors. Barristers are specialists in doing contentious business. They go to court most of the time, they also take part in arbitration and mediation. And then the solicitors, they are more general in practice. They will be responsible for non-contentious matters, say M&A, IPO, providing advisory work, so on and so forth. So what I wish to emphasise is that we have a big pool of top-quality professionals who stand ready to serve your interests. And one thing that we must bear in mind is that most of these legal professionals are bilingual, many of us are Chinese, of course we have a lot of expatriates. Because of the unique situation in Hong Kong, apart from being very familiar with the international legal community, we are also extremely familiar with how things are done in Mainland China, both the culture and the business environment. So I think that is also an advantage that would work in your interests.

     Now the fourth point that I would like to mention about our legal system is that it provides very close connection to both Mainland China and other parts of the world. Now firstly, in particular, I would like to speak on how Hong Kong’s legal system is connected to the Mainland because this is a feature that cannot be copied or found elsewhere. I said earlier on that under the principle of “one country, two systems”, Hong Kong’s legal system is different or separate from that of the Mainland, but it doesn’t mean that there is no connection between the two legal systems within the same country. Quite the contrary, we have at the moment nine mutual legal assistance arrangements that connect the two jurisdictions together. And these connections, based on the mutual legal assistance agreements are of great significance to safeguard the interest of investors and businessmen from overseas. I can give you a very simple example. Based on some of the arrangements that I mentioned, a court judgment in Hong Kong for an arbitral award in Hong Kong can be recognised and enforced in the Mainland. So if your business partner is in Mainland China, your assets there that you have to protect, but you wish to take advantage of Hong Kong legal system because you have confidence in our legal system, then Hong Kong is the right choice. You can use our legal system, but you can enjoy the fruit of success of the legal process in Mainland China. Now these legal arrangements are unique to Hong Kong. It is only made possible because of the “one country, two systems” arrangement. So if you go to places like, just as an example Singapore or other places, then you will not find exactly this same sort of co-operation, arrangement or convenience.

     So putting these four characteristics together, I would have thought that you will be convinced to a certain degree that Hong Kong is definitely a place for you to consider to act as a platform, a connector, a springboard for you to go into the market in Mainland China and beyond. I said “beyond” because we are all aware of the development and relationship between Middle East and China, including in particular the relationship between Saudi Arabia and China. We have very long friendship going back for more than 1 000 years. Of course I am referring to the Silk Road. But I note that in June 2023, last year, your investment minister said in a very important conference that there would be a modern silk road between Arab countries, including of course, Saudi Arabia, and China. So “silk road” is not something belonging to history. It is not about the past. It is also about our common future. So Hong Kong plays a very significant role in fostering a better relationship between the two countries because of the unique characteristics offered by “one country, two systems”.

     And as you may note, last February the Chief Executive of Hong Kong came here with a strong delegation, I remember it’s almost 100 persons from different sectors. A lot of agreements have been signed, and a lot of initiatives. And after that, many colleagues from the Government in different areas have come to Saudi Arabia. So it is now my turn, basically. And we are talking about setting up an ETO, economic and trade office, in Saudi Arabia in Riyadh. I hope it will come into reality soon. But the future is very clear, the direction is very clear. I am very confident and I hope that you are equally confident that the relationship between Saudi Arabia and Hong Kong is going to be very strong and much closer than today. But it requires some efforts. So I am sure that each and every one of us in this room can make some contributions to make what we have in mind to come true as soon as possible. It is a bit a pity that we only have about two hours or so at this lunch to make friends, to talk about things of common interests. It may be a very small step in the overall scheme of things, but I do believe that this is the small step that will take us closer to our final destination.

     So lastly, I wish you all a very enjoyable lunch. I hope we can make some friends and enhance our relationship. If you have any question on Hong Kong, I am sure that my friends from Hong Kong sitting at the table will be more than happy to entertain all the questions. And I am very confident that they will have good answers. And obviously, we are also very interested to hear from you about your situation in Saudi Arabia. I think to make friends, we have to know each other first. So thank you very much.

  

     â€‹The Environmental Protection Department (EPD) approved the Environmental Impact Assessment (EIA) report for San Tin/Lok Ma Chau Development Node (ST/LMC DN) with conditions. Regarding the questions raised by individual groups, the EPD responded today (May 19).
      
     A spokesperson for the EPD said that the EIA process is scientific and professional. The Environmental Impact Assessment Ordinance (EIAO) and its Technical Memorandum (TM) have laid down scientific and objective standards and requirements, with designated professional authorities to help comprehensively review all EIA reports. The EIA process is also open and transparent. Starting from the submission of the project profile by the project proponent, all steps are made public on the EIAO website, and there is a two-stage consultation during the public inspection period to allow the public and the Advisory Council on the Environment (ACE) to fully express their comments. The Director of Environmental Protection (DEP) will approve the EIA report after fully considering all the above information and comments and confirming that the EIA report has met all statutory standards and requirements.
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     Regarding the EIA report of the ST/LMC DN, the DEP explained in detail the basis for the approval at a press conference on May 17. For the comments raised by individual groups, the EPD provided consolidated responses on seven aspects:
      
(1) Validity of EIA Study Brief
      
     The TM lays down clear guidelines on the requirements of the EIA Study Brief (SB): “The EIA SB aims to set out the purposes and objectives of the EIA study, the scope of environmental issues which shall be addressed, the requirements that the EIA study shall need to fulfil, and the necessary procedural and reporting requirements.” Annex 3 of the TM also lists out all factors need to be considered. The EPD confirmed that, with regards to the provisions in the TM, the SB has covered all environmental issues that need to be assessed and met all relevant requirements.
      
(2) Ecological baseline survey and ecological impact
      
     The key objectives of ecological surveys are to fill in information gaps in the existing available ecological information, and to confirm and evaluate the ecological value of habitats and species. There is a large amount and continuous ecological information within the study area, which includes the nature conservation management agreements undertaken by the Hong Kong Bird Watching Society funded by the Environment and Conservation Fund since 2012 as well as a number of EIA studies and environmental monitoring and audit reports. Relevant information has been appropriately taken into consideration in the EIA study.
      
(3) Avoid major environmental impacts as a priority
      
     The EIA report has followed the principle in the order of “avoidance”, “minimisation” and “compensation” in accordance with the requirements of the TM, such as avoiding the Ramsar Site, preservation of the core area of the Mai Po Lung Village Egretry and the Mai Po Village Egretry, as well as the mature woodland habitat at Pang Loon Tei, etc.
      
(4) Impacts on flight of breeding egrets and other wetland avifauna
      
     A 12-month ecological baseline survey has been conducted under the EIA study in accordance with the requirements of the TM and the relevant guidance notes, which included surveys on flight paths above egretries and night roosts. The ecological impact assessment has also considered the indirect impacts imposed on the egrets and herons due to loss of foraging grounds or disturbance.
      
     The EIA report also recommended designation of non-building area and stringent building height restriction for preservation of a 300-metre-wide (comparable with the width of the Tsing Yi North Bridge) east-west birds’ flight corridor; preservation of a 70m-wide bird flight path of the Mai Po Lung Village Egretry. The Tuen Mun River currently passing through the Tuen Mun Park (one of the top ten roosting sites in Hong Kong), which serves as a flight path frequently used by egrets, has a width of only 75m, and therefore it is sufficient to serve as a flight path for egrets.
      
(5) Impacts on Euraisan otters and design details of wildlife corridors
      
     Based on literature records (otter scats instead of otters were found in the area), the EIA report has assumed that otters are present and conducted corresponding assessment. After listening to the views of green groups and the ACE and making reference to Taiwan’s experience in protecting Eurasian otters, enhancement measures that are conducive to otters’ activities were proposed, including establishing 10m-wide above ground wildlife corridors with water environment; underground wildlife corridors with cross-sectional area no less than six square meters with natural lighting; widening of the gaps in the grille of the water channel connecting the Shenzhen River; and adding otter-specific ladders or passages at the dam of the main drainage channel and the flap valve.
      
(6) Effectiveness of wetland compensation
      
     The EIA report has made reference to the actual experience of the Sheung Shui to Lok Ma Chau Spur Line construction works, and proposed enhancement of ecological function and capacity of the fish pond wetlands through active management, and proved the effectiveness of wetland compensation with facts. The EIA report recommended adopting a variety of measures, including consolidating smaller and scattered fish ponds into larger water bodies, setting up artificial habitat islands, reprofiling of pond banks, pond drain-down, and when necessary, trash fish-stocking, to create and enhance environmental quality and capacity. The Hong Kong Bird Watching Society’s website also pointed out that by adopting pond drain-down only can already increase the bird abundance by as much as 19 times. The current EIA report has only conservatively assumed a 45 per cent increase, which is sufficient to compensate for the ecological impact caused by the development of the San Tin Technopole.
      
(7) Mitigation and compensation and Habitation Creation and Management Plan
      
     The EIA report has devised mitigation measures for potential ecological impacts during the construction period, including installing noise barriers at the boundaries of the construction area and carrying out construction in phases outside the period of arrival of migratory birds, supplemented by corresponding environmental monitoring requirements to reduce ecological impacts during construction.
      
     The Civil Engineering and Development Department (CEDD) will also implement a series of wetland enhancement measures at Mai Po, including desilting of tidal channels connecting the gei wai of the Mai Po Nature Reserve and the Inner Deep Bay, so as to improve water exchange in the gei wai thereby increasing the number of fish and shrimps for migratory birds to forage. Part of the exotic mangrove invading the mudflat of the Inner Deep Bay will also be cleared to increase the feeding and habitat space for migratory birds. In addition, the CEDD will implement interim wetland enhancement measures, including restoration of abandoned ponds in the Inner Deep Bay area and active management of the restored ponds including trash fish stocking. Furthermore, no pond filling works of the project will be commenced prior to commencement of construction of the ecologically enhanced fish ponds.
      
     The CEDD has submitted the Draft Habitat Creation and Management Plan upon request of the ACE, and will set up an Environmental Committee comprising representatives from relevant government departments, green groups and academics to advise on the preparation of various implementation plans. 
      
Conclusion
      
     The EIA process is scientific, professional and comprehensive. The EPD has fully considered comments received during the public inspection of the EIA report and consulted relevant authorities in accordance with the TM. The ACE also unanimously approved the EIA report and its recommendations. The EPD hopes to optimise the project through the EIA process so that the ST/LMC DN can improve its ecological environment and become a sustainable, livable place where urban and rural areas and nature integrate. read more

     â€‹The Hong Kong Economic and Trade Office in Dubai (Dubai ETO) hosted a business luncheon in Riyadh, Saudi Arabia on May 19 (Riyadh time). The event focused on the legal and related business sectors and aimed to deepen legal, investment and trade ties between Hong Kong and Saudi Arabia. 
      
     About 100 guests joined the event where the Secretary for Justice, Mr Paul Lam, attended during his official visit to Riyadh, Saudi Arabia.
      
     Mr Lam also led a delegation of about 30 members, including representatives from the Law Society of Hong Kong, the Hong Kong Bar Association, the Hong Kong Exchanges and Clearing Limited, and Invest Hong Kong, as well as other professionals from the related business sectors. 
      
     The luncheon, themed “Hong Kong – The Common Law Gateway for Saudi Arabia Business to China and Beyond”, provided a platform to showcase how the common law system in Hong Kong can facilitate businesses in Saudi Arabia to enter the markets of Hong Kong, Mainland China, Asia-Pacific and others. Hong Kong has a well-developed common law system under the principle of “one country, two systems”, which is known for its transparency, robustness and reliability, giving it a unique advantage in the business environment. 
      
     Speaking at the business luncheon, Mr Lam remarked that as the only common law jurisdiction within China, Hong Kong’s well-established legal system and top-notch legal and dispute resolution services give the city a unique edge which attracts business opportunities from across the globe. Hong Kong is also an ideal gateway for Middle East businesses and the legal profession to expand their markets to the Mainland China.
      
     The Director-General of Investment Promotion, Ms Alpha Lau, also gave an update on the latest investment and business environment in Hong Kong and encouraged Saudi investors, entrepreneurs and startups to expand their businesses and markets in Hong Kong and beyond.
      
     The participants at the luncheon took the opportunity to engage in meaningful exchanges, and explore potential partnerships and collaborations.
      
     The event was co-organised by the Department of Justice, the Hong Kong Trade Development Council, and Saudi Chinese Business Council, and supported by Invest Hong Kong. read more

     The Secretary for Justice, Mr Paul Lam, SC, arrived in Riyadh, Saudi Arabia, today (May 19, Riyadh time) with his about 30-person delegation, comprising representatives from the Law Society of Hong Kong, the Hong Kong Bar Association and related sectors, and began a two-day visit to the city to promote Hong Kong’s legal and dispute resolution services and enhance co-operation and exchanges between the two places.

     Upon arrival in Riyadh, Mr Lam and the delegation met with local legal and business sectors during a lunch and networking reception titled “Hong Kong – The Common Law Gateway for Saudi Arabia Businesses to China and Beyond”, co-organised by the Department of Justice, the Hong Kong Economic and Trade Office in Dubai, the Hong Kong Trade Development Council and the Saudi Chinese Business Council, and supported by Invest Hong Kong. The attendees were briefed on Hong Kong’s unrivalled advantages of enjoying strong support from the motherland while being closely connected to the world under “one country, two systems”. In a welcome remarks, Mr Lam said that as the only common law jurisdiction within China, Hong Kong’s well-established legal system and top-notch legal and dispute resolution services give the city a unique edge which attracts business opportunities from across the globe. It is also an ideal gateway for the Middle East businesses and legal sectors to access the Mainland market. The lunch and networking reception attracted about 100 participants from the legal, business and other sectors of Saudi Arabia.

     In the afternoon, Mr Lam and his delegation visited the local office of a leading AI software company born in Hong Kong to have a better understanding of the business opportunities and challenges for the Hong Kong enterprises operating in Saudi Arabia.

     In the evening, Mr Lam and his delegation will have dinner with the Ambassador Extraordinary and Plenipotentiary of the People’s Republic of China to the Kingdom of Saudi Arabia, Mr Chang Hua.

     They will end the first day programme by visiting the At-Turaif District in ad-Dir’iyah, a UNESCO World Heritage Site on the outskirts of Riyadh, which was the first capital of the Saudi Dynasty.

     Mr Lam and the delegation will continue their visit in Riyadh tomorrow (May 20, Riyadh time).

        

     The Hong Kong Economic and Trade Office in Brussels (HKETO, Brussels) supported the 5th Barcelona International Dragon Boat Fest (Festival) held on May 18 and 19 (Barcelona Time) in Castelldefels, Barcelona in Spain.   &nbsp… read more