Hong Kong authorities have arrested 28 people suspected of involvement in a major bid-rigging operation targeting building maintenance and renovation projects, marking a significant step in the city’s efforts to tackle corruption and organised criminal activity within the construction industry.

The arrests followed a joint investigation involving the Hong Kong Police Force, the Independent Commission Against Corruption (ICAC) and the Competition Commission. The operation was conducted under a newly established task force created to address suspected manipulation of building renovation contracts.

According to officials, the suspected syndicate targeted residential and industrial properties, allegedly manipulating tender procedures to ensure that selected engineering consultants and contractors secured lucrative renovation projects.

Suspected Syndicate Targeted Building Renovation Contracts

Hong Kong’s Secretary for Security, Chris Tang, said the investigation uncovered suspected bid-rigging activities involving at least 20 buildings or housing estates.

Authorities reported that approximately HK$100 million worth of contracts had already been awarded, while another HK$100 million in potential projects was reportedly at risk.

Investigators believe the suspects used several tactics to influence property owners and owners’ corporations, including claims about rising construction material prices and the urgent need to begin repair work.

These approaches allegedly encouraged homeowners to sign renovation agreements quickly, potentially limiting their ability to compare contractors and evaluate competing proposals.

Contractors and Consultancy Firms Among Those Arrested

The 28 suspects reportedly included individuals connected to six contracting companies, 10 consultancy firms, a property management company and an owners’ corporation.

Some of the arrested individuals were also suspected of having connections with organised criminal groups.

The suspected offences include fraud, forgery, conspiracy to defraud and conspiracy involving improper advantages to agents.

Authorities are examining whether relationships between contractors, consultants and property representatives were used to influence tender decisions and direct renovation contracts towards selected businesses.

Investigation Linked to Wider Building Safety Reforms

The crackdown comes amid increased scrutiny of Hong Kong’s building maintenance sector following the deadly Wang Fuk Court fire in Tai Po last year, which killed 168 people.

The tragedy raised serious questions about building safety, renovation oversight, contractor accountability and possible corruption within the construction and maintenance industries.

The government has subsequently introduced a series of reform measures aimed at strengthening oversight and preventing unfair tender practices.

The newly established joint task force represents part of this broader effort to identify suspected criminal networks and improve transparency in building renovation projects.

Authorities Expand Crackdown on Illegal Activities

The two-day enforcement operation also targeted premises allegedly associated with organised criminal activities.

According to government information, authorities arrested another 38 people in connection with seven illegal establishments, including suspected gambling and vice premises.

This brought the total number of arrests during the wider operation to 66, although 28 arrests were specifically linked to the suspected building renovation bid-rigging syndicate.

Officials also searched 78 premises and seized documents and accounting records connected with relevant renovation projects.

Public Hotline Established to Report Bid-Rigging

Hong Kong authorities have established a 24-hour reporting hotline, 182 000, to encourage residents to report suspected manipulation of building maintenance tenders.

A reward mechanism has also been introduced to encourage members of the public to provide useful information. Officials said information received through the reporting system would be treated confidentially.

The investigation remains ongoing, with authorities expected to examine the financial relationships and business arrangements associated with the suspected network.

The latest arrests highlight growing concerns about corruption, organised crime and transparency in Hong Kong’s building renovation industry. Authorities are seeking to strengthen safeguards to ensure that homeowners receive fair treatment and that public and private renovation projects are conducted through legitimate competitive processes.