A Hong Kong construction company involved in a fatal crane collapse is considering appealing the government’s decision to strip its licence, as the Housing Authority warns that the deregistration would set back public housing queue times.
According to a statement on Thursday, the Buildings Department (BD) “has refused the application for registration renewal of Aggressive Construction Company Limited (ACCL).”
ACCL was involved in three accidents resulting in five fatalities, including the 2022 crane collapse on Anderson Road in Sau Mau Ping that killed three workers.
In July 2020, a construction worker died after he was electrocuted, while in October 2023, a worker fell to his death at a construction site, the BD also said in the statement.
The department also cited the governing body for construction companies’ licences, the Contractors Registration Committee, saying it was not satisfied that ACCL’s representatives were “competent and capable in site supervision and safety management.”
The BD issued a letter notifying ACCL would be removed from the register on June 20, barring it from carrying out any building works from that date onwards.
ACCL is the main contractor for six projects, three of which are public housing projects – in Tuen Mun, Tung Chung, and Sham Shui Po.
The other three are a new government complex in Chai Wan, a subsidised sale housing project on Anderson Road operated by the Hong Kong Housing Society – the city’s second-largest public housing provider, and a student and staff dormitory project of the University of Hong Kong.
“It is believed that the relevant owners will expeditiously and properly handle and hand over the outstanding works with the original contractor and appoint another suitable registered contractor to continue with the relevant works as soon as possible,” the BD said in its statement.
Appeal
In a Chinese-language statement on Thursday, ACCL said that it “regretted” the government’s decision to reject its licence renewal, adding that it was seeking legal advice to study whether it would launch an appeal against its deregistration.
“Since the Anderson Road accident, our company has comprehensively reviewed its work processes, requiring the team to strictly comply with safety standards, enhance the safety awareness of site workers, and reduce potential risks,” it said. “Over the past two years, independent professional audits have confirmed that our site safety has greatly improved.”
ACCL said that it was “worried” its deregistration would delay the completion of more than 7,000 subsidised housing units and increase construction costs by HK$1 billion, also affecting the livelihoods of “thousands” of workers.
The Housing Authority, the city’s main public housing provider, told local media that it was “inevitable” the construction delays for the Tuen Mun and Tung Chung projects would set back overall queue times for public rental housing, though the Anderson Road project would not be significantly affected.
In the lead-up to the June deregistration date, the government will take enhanced measures to strengthen site supervision at ACCL’s construction sites, including surprise inspections, the BD said.
During a press conference on Thursday, Secretary for Development Bernadette Linn said the authorities understood that the move to refuse ACCL’s renewal would have an impact on existing construction works.
“But the BD, as the regulatory authority, is required to process registration renewal applications rigorously and professionally in accordance with the [Buildings Ordinance],” she said.
She added that individuals linked to the construction company would soon be taken to court in July and January.
