Antony Leung

Antony Leung Kam-chung GBS, JP
梁錦松
Financial Secretary of Hong Kong
In office 29 May 2001 – 16 July 2003
Preceded by	Sir Donald Tsang
Succeeded by	Henry Tang
Personal details
Born	29 January 1952[1] Hong Kong
Spouse(s)	Fu Mingxia
Alma mater	Ying Wa College University of Hong Kong (BSocSc in Economics and Statistics) Harvard Business School
Occupation	Senior Managing Director and Chairman of Greater China at the The Blackstone Group CEO at Nan Fung Group Chairman at New Frontier Visiting professor at the Nankai University
Religion	Christianity

Antony Leung
Traditional Chinese	梁錦松
Simplified Chinese	梁锦松
Transcriptions Standard Mandarin Hanyu Pinyin Liáng Jǐnsōng Yue: Cantonese Jyutping Loeng4 Gam2 Cung4

Antony Leung Kam-chung GBS JP (born 29 January 1952 in Hong Kong with family roots in Shunde, Guangdong) is a businessman who served as Financial Secretary of the Hong Kong Special Administrative Region (HKSAR), from 29 May 2001 until his resignation on 16 July 2003.

He was embroiled in a financial scandal in early 2003 after it was revealed he had bought an expensive Lexus car shortly before imposing a new car tax, creating a controversy over conflict of interest that earned him the nickname "Lexus Leung" and which ultimately led to his resignation in July of that year.^[2][3]

Education

Leung was educated in Hong Kong. He received his secondary education in Ying Wa College and holds a Bachelor of Social Sciences degree, majoring in economics and statistics, from The University of Hong Kong. During his university studies, he actively participated in student activities and was concerned with political issues. It had been a long-term goal of Leung to be Financial Secretary, according to some classmates. He completed the Harvard Business School's Programme in Management Development in 1982 and the Advanced Management Programme in 1999. He received an honorary Doctor of Laws at The Hong Kong University of Science and Technology in 1998.

Career

Leung started his banking career as a currency trader and spent 23 years with Citicorp where he took up regional management positions in investment, corporate and private banking in Hong Kong, New York, Singapore and Manila. Leung rose to senior management positions at big international banks in Hong Kong. He joined Chase Manhattan Corporation in 1996, where he rose to the rank of Asia-Pacific chairman. He oversaw the Asia-Pacific operation of J.P. Morgan Chase & Co., which became the No.2 U.S. bank when commercial bank Chase Manhattan bought Wall Street investment firm J.P.Morgan in 2000. He relocated to Singapore shortly before he resigned from J.P.Morgan to become Financial Secretary.

Prior to becoming Financial Secretary, he was actively involved in public services. He was an unofficial member of the Executive Council (1997–2001 April) and was responsible for Education Reform when he was the chairman of Education Commission (1998–2001 April). The chair of the Commission was succeeded by Dame Rosanna Wong Yick-ming, the former chairperson of the Housing Authority who resigned before a vote of no confidence in the Legislative Council of Hong Kong following a scandal concerning the improper construction of housing estates under the Home Ownership Scheme.

Financial Secretary

Leung became Financial Secretary government post on 1 May 2001.

When in office, he proposed, in 2001, to cut the salaries of civil servants by 4.5%. However, in the face of strong opposition, the cut was reduced to 1.8–2.3% and enacted through legislation. After that, the government proposed a further 3% in salary cuts over the following 2 years, 2005 and 2006.

He also stated that the government should succeed in balancing the budget by the 2006–07 fiscal year due to the recovery of the economy and further cuts in government expenditure. He claimed that it was necessary to balance the budget as quickly as possible so as to maintain the stability of the economy. He suggested expenditure cuts in different sectors, including university funding.

In September 2002, new HK$10 notes were co-issued by the Hong Kong Monetary Authority and the Hong Kong government in response to the problem of fake 10-dollar coins. About 10 special features were applied to the new notes.

By the end of 2002, in response to the "penny stock" incident, he set up a 2-person commission, which he was in charge of, to investigate the incident.

Harbour Fest

After the outbreak of SARS, Leung was responsible for taking action to reinvigorate Hong Kong's economy. After receiving funding of HKD 1 billion from the Legislative Council, Leung was able to launch several initiatives including the "Harbour Fest". Following his resignation, however, the Fest became mired in controversy regarding the chaotic arrangements made with overseas artists like the Rolling Stones, and the financial relationship between the government and the American Chamber of Commerce in Hong Kong to which inexperienced body had been entrusted the Fest's organisation.

Henry Tang, who became Financial Secretary after Leung, said in a TV interview on 29 October 2008 that the contracts between the government and AmCham were signed when Leung was still in office. "AmCham came up with this creative idea for a musical event,... [which] required us to grant it five years' custodial rights, I believe then financial secretary [Leung] thought it was reasonable."

Tang later clarified that the contracts were signed by Rowse and not Leung. Tang said Rowse was a civil servant and as such was not required to be held politically responsible.^[4]

CEPA

Before his resignation, he signed the Closer Economic Partnership Arrangement (CEPA) with China, which, it was believed, could help Hong Kong get out of a prolonged economic downturn.

The "Lexusgate" scandal and resignation

Leung came under severe criticism in January 2003 when he bought a HK$790,000 (US$101,282) Lexus LS 430, just weeks before he raised the tax on new vehicles in his March budget. Although Leung claimed that he had decided on the tax increase after buying the car, which he said his family needed because of the arrival of his first-born in February.^[5][6][7] Leung denied that he was trying to avoid the new tax, which would have cost him an additional HK$180,000. (USD 23,000). However, unlike other members of the Executive Council, Leung had failed to disclose the purchase to the council.^[8][9][10] News of the car purchase dealt a blow to the Hong Kong government's credibility as well as to the effectiveness of the newly introduced Principal Officials Accountability System (POAS).^[10]

In view of the public outcry, he tried to defuse the controversy by donating money to the Community Chest, a local charity. He also submitted his resignation in March, which Chief Executive of Hong Kong Tung Chee-hwa refused to accept at the time.^[5][10] The government's unwillingness to take action after the scandal broke brought into question the sincerity of Tung's commitment to establishing an accountable government.

Hong Kong's Department of Justice said in July 2003, after receiving a report from the Independent Commission Against Corruption (ICAC), that it was considering whether to charge Leung over the car controversy, which came to be known as Lexusgate.^[5]

On 16 July 2003 Leung resigned with immediate effect in the wake of mass protests over the government's handling of a controversial anti-subversion bill, having failed to reduce record high unemployment and revive battered consumer confidence. His resignation came just hours after Secretary for Security Regina Ip said she was stepping down, for personal reasons.^[11]

On 15 December 2003, the Department of Justice announced that it was dropping the case against Leung.^[12]

Return to private sector

He served as the chairman of Blackstone Group's Asian office in Hong Kong.^[3] He continues to serve as a Senior Adviser to Blackstone and a member of its International Advisory Board.

Leung has served as the Chief Executive Officer at the Nan Fung Group, the Hong Kong-based property and finance conglomerate, since February 2014.^[13]

He is also actively involved in charities, serving as chairman of the board of directors of Heifer International's Hong Kong branch.

In an effort to elevate Hong Kong as Asia's leading innovation and technology hub, Leung has co-founded New Frontier,^[14] which started as an internet venture builder, and has evolved into a diversified holding company with interests in the internet and healthcare sectors. New Frontier has founded technology companies including Boxful (2015) and HelloToby (2016) in Hong Kong.

See also

• List of graduates of University of Hong Kong
• Politics of Hong Kong

References

1. "Τ 絬 糴 繵 i-CABLE". i-cable.com.
2. "It's too early to care about whether Antony Leung runs for chief executive". South China Morning Post. 16 December 2013.
3. ""Lexus" Leung resurfaces at Blackstone in Hong Kong". FinanceAsia.
4. Cannix Yau (31 October 2003). "Leung 'not to blame for Fest contracts'". The Standard. Hong Kong. Archived from the original on 22 May 2011.
5. Wong, Margaret (16 July 2003). "Hong Kong prosecutors study report into financial chief's tax-avoiding car purchase". Associated Press.
6. Carroll, John M. A Concise History of Hong Kong, Page 233. Rowman & Littlefield Publishers (2007)
7. Ma, Mary (31 October 2012). "A taxing tempest in a teapot". The Standard
8. Fanny Fung & Cannix Yau (19 March 2003). "Yeoh car purchase revelation new blow to Leung". The Standard. Retrieved 24 July 2008.
9. "Leung kept quiet as trio told of new cars". The Standard. 21 March 2003. Retrieved 24 July 2008.
10. Ma, Ngok. Political Development in Hong Kong: State, Political Society, and Civil Society, pp. 68–69. Hong Kong University Press (2007).
11. "Hong Kong's Financial Secretary Resigns". Associated Press. 16 July 2003
12. Beveridge, Dirk (15 December 2003) "Hong Kong Won't File Charges in Scandal". Associated Press.
13. Ma, Mary (November 21, 2013). "Antony Leung back in reckoning " Archived 3 February 2015 at the Wayback Machine.. The Standard
14. http://www.new-frontier.com/en/nf-team/antony-leung/

Sources

• "How events unfolded", Hong Kong Standard, 16 December 2003.