Introduction
This is a report on the financial status of the Fund and the progress of assisted cases for the period from 1 April 2023 to 30 September 2023.
Finance
During the reporting period, the total income and expenditure of the Fund were HK$229,000 and HK$358,000 respectively. As at 30 September 2023, the total accumulated fund stood at about HK$10 million.
Overview
During the reporting period, the Fund received 9 new applications and 1 application seeking reconsideration. In addition, 13 applications, of which 1 was seeking reconsideration, were received prior to the reporting period and were under process during the reporting period. Amongst these 23 applications, 15 were declined and 3 remains under consideration. The Fund has granted assistance to 5 applications.
Progress of cases
Cases Carried Over From Previous Year
- Columbarium – Refusal to Allow Interment of Ashes
The assisted consumer’s mother purchased a niche from a private columbarium in 1996. In 2017, the assisted consumer wanted to inter her mother’s ashes into the niche after she passed away. However, the columbarium refused to do so on the ground that the deceased’s name printed on the receipt issued by the columbarium was different from the name on her death certificate and Hong Kong Identity Card
During the reporting period, the columbarium’s application for licence under the Private Columbaria Ordinance (PCO) was under review by the Private Columbaria Licensing Board. Meanwhile, the ashes were interred at another columbarium and assisted consumer wished to wait for the grant of licence to the columbarium. In the circumstances, the Fund continued to monitor the progress of the columbarium’s application under the PCO.
- Financial Services – Breach of Duty and Contract
Evidence indicated that the assisted consumer sustained loss in investing in London Gold as a result of the breach of duty and contractual obligation by the trader. In view of the circumstances of the case, the Fund considered that there were sufficient merits and significant consumer interest for assistance to be granted for legal action to be taken against the trader.
During the reporting period, follow up actions were in progress.
- Purchase of Residential Property – Breach of Duty and Contract
Evidence indicated that the assisted consumer was induced to purchase a unit adjoining the flat roof in reliance of an improper floor plan and misrepresentations given by the estate agent.
During the reporting period, follow up actions were in progress.
- Beauty Services – Personal Injuries Claim
Evidence indicated that the assisted consumer suffered personal injuries as a result of facial treatment provided by the trader.
During the reporting period, follow up actions were in progress.
- Beauty Services – Personal Injuries Claim
Evidence indicated that the assisted consumer sustained personal injuries as a result of facial treatment performed by a doctor at a medical beauty centre.
During the reporting period, follow up actions were in progress.
- Immigration Consultancy Services – Breach of Duties
Evidence indicated that an immigration consultancy services company had breached its contractual and common law duties of care towards the assisted consumers, rendering them unable to proceed with their immigration process.
During the reporting period, follow up actions were in progress.
- Purchase of Residential Property – Breach of Duty and Contract (23 cases)
Evidence indicated that the developer had failed to provide a first mortgage plan entailing a 2-year principal and interest free period offered to purchasers at the time of sale.
During the reporting period, follow up actions were in progress.
- Time-sharing Scheme – Aggressive Commercial Practices
Evidence indicated that the assisted consumer was induced to execute 3 vacation club membership agreements by unconscionable and unfair tactics adopted by the trader.
During the reporting period, follow up actions were in progress.
- Legal services – Breach of Duties
Evidence indicated that a law firm had breached its duties of care and fiduciary duties towards the assisted consumers, causing them to suffer loss as a result of the loss of priority in the charging order obtained over the judgment on debtor’s property to another client of the law firm.
During the reporting period, follow up actions were in progress.
- Financial Services – Fraud
Evidence indicated that the assisted consumer suffered loss due to suspected fraud perpetrated by a trader purporting to offer gold trading services.
During the reporting period, follow up actions were in progress.
- Beauty Services – Personal Injuries Claim
Evidence indicated that the assisted consumer sustained personal injuries as a result of facial treatment performed by a beauty centre.
During the reporting period, follow up actions were in progress.
- Immigration Consultancy Services – Breach of Duties
Evidence indicated that an immigration consultancy services company had breached its contractual and common law duties of care towards the assisted consumer, rendering her unable to proceed with her immigration process.
During the reporting period, follow up actions were in progress.
Newly Assisted Case
- Financial Services – Instalment Payment Plan
The assisted consumers lodged claims against a beauty centre and a bank in separate proceedings in the Small Claims Tribunal (“SCT”) concerning a dispute arising out of the purchase of a beauty package from the beauty centre with a loan offered by the bank under a credit card instalment payment plan. Favourable judgment was obtained against the beauty centre for rescission of the purchase contract and damages. However, the proceedings against the bank claiming, amongst other things, late payment interest charged by the bank was unsuccessful.
The Fund considered that the case against the bank involved sufficient legal merits and significant consumer interest, and offered legal assistance to the assisted consumers in pursuing an application to review the Tribunal’s decision in the proceedings against the bank (“Review”). The Review was unsuccessful and assistance was extended to pursuing an appeal in the High Court on a point of law. The application for leave to appeal was in progress during the reporting period.
- Continuous Positive Airway Pressure Device – Product Liability
The assisted consumer claimed that the use by her spouse of a continuous positive airway pressure device, which was subject to product recall, caused his death.
The Fund considered that the case involved significant consumer interest and offered limited legal assistance to the assisted consumer on obtaining expert evidence for further assessment.
- Residential Renovation Works – Unscrupulous Trade Practices and Contract
Disputes arose between the assisted consumer and the trader concerning the charges, workmanship and abandonment of the residential renovation works at her mother’s property.
The Fund considered that the case involved sufficient legal merits and significant consumer interest.
- Time-sharing Scheme – Aggressive Commercial Practices
Evidence indicated that the assisted consumer was induced into entering a vacation club membership agreement by the trader's unconscionable and unfair sales tactics.
The Fund considered that the case involved sufficient legal merits and significant consumer interest.
- Beauty Services – Unscrupulous Trade Practices
Evidence indicated that the assisted consumer entered into a membership agreement as a result of the trader’s unscrupulous trade practices.
The Fund considered that the case involved sufficient legal merits and significant consumer interest.
Statistics
Annexure 1 to this report is a brief statistics of the Fund’s cases.