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Chief Executive-elect John Lee celebrates his victory in the Hong Kong’s leadership poll on May 8. Photo: K. Y. Cheng

Exclusive | US sanctions risk pushed campaign team for Hong Kong’s John Lee to limit options for receiving election donations

  • Source in Lee’s campaign team says decision was made before YouTube terminated candidate’s channel to comply with US sanction laws
  • Association for delegates of China’s top advisory body among locally registered organisations to donate to Lee’s campaign
John Lee

The campaign team of Hong Kong’s incoming leader John Lee Ka-chiu only accepted election donations from locally registered organisations and business chambers to avoid the risk of companies and individuals being sanctioned by the United States, the Post has learned.

The HKCPPCC (Provincial) Members Association was one of several pro-establishment groups which contributed funds to the former policeman’s campaign, donating HK$300,000 (US$38,217) in cash.

A source close to Lee’s campaign office told the Post they had decided to accept election donations from organisations and business chambers registered in Hong Kong because of “objective factors”.

“We made the decision before YouTube terminated Lee’s campaign on the grounds of compliance with United States sanction laws,” the source said.

A separate source familiar with the matter said the decision by Google to terminate the YouTube channel on April 20 had left political and business heavyweights worried about possible legal consequences if they contributed to the campaign of an individual sanctioned by the US.

Beijing, Hong Kong hit out at Google for axing candidate John Lee’s YouTube channel

Lee was among 11 Beijing and Hong Kong officials sanctioned by Washington in August 2020 over what it decried as their role to “undermine the city’s autonomy as well as restrict the freedom of expression or assembly of residents” after the imposition of the national security law on June 30 that year.

Lawyers who spoke to the Post earlier said the sanctions slapped on then-security minister Lee could have proved to be an impediment to fundraising efforts for his leadership bid.

The source close to Lee’s campaign office said the total amount of election donations raised was below the HK$18.7 million received by his predecessor, Carrie Lam Cheng Yuet-ngor, during her bid for chief executive in 2017.

Lam, Beijing’s preferred candidate at the time, had received most of her election donations from business leaders, who also mobilised their wives, children and staff to bankroll her campaign.

Lam also donated surplus campaign funds of about HK$6 million to seven charities.

“The spending of Lee’s campaign is less than half of the HK$12 million-plus spent by Lam’s five years ago,” the source said.

04:05

Hong Kong’s Election Committee picks John Lee as city’s next chief executive in one-man race

Hong Kong’s Election Committee picks John Lee as city’s next chief executive in one-man race

The Chinese General Chamber of Commerce, the Friends of Hong Kong Association, the HKCPPCC (Provincial) Members Association, the Federation of Hong Kong Guangdong Community Organisations and the Hong Kong Federation of Fujian Associations were among the locally registered groups which had offered funds to Lee’s campaign.

Irons Sze Wing-wai, president of the HKCPPCC (Provincial) Members Association, told the Post on Thursday that the group’s board had decided in late April to make a cash donation to Lee’s campaign.

Sze, who is also a Hong Kong delegate to the Chinese People’s Political Consultative Conference (CPPCC), the nation’s top advisory body, said he was not worried about the risk of being sanctioned by the US government for his leadership role in the association.

“CPPCC delegates are part of the country’s political establishment,” he said. “Shouldn’t I quit from the advisory body if I fear US sanctions?”

But Chinese General Chamber of Commerce chairman Yuen Mo on Thursday declined to comment on whether the business group had offered to donate to Lee’s campaign.

Lee, the former No 2 official, secured 1,416 votes from the Election Committee in Sunday’s uncontested vote, giving him 99.2 per cent of the valid ballots cast. Lam won 777 votes, or 65.5 per cent of all valid ballots, in the 2017 leadership race.

Why is Hong Kong’s chief executive candidate axed on YouTube but not Facebook?

Tam Yiu-chung, director of Lee’s campaign office, declined to comment on the detailed arrangements for receiving election donations.

A spokesman for Lee’s campaign office said: “Under Hong Kong’s electoral law, the candidate [Lee] will be submitting an election return to the Registration and Electoral Office, in accordance with legal requirements, within 60 days from the date of election.

“Details of donations for the candidate’s campaign will be disclosed in such return as stipulated by law.”

Electoral law states that an election return must set out all campaign expenses incurred by the candidate or his authorised persons as well as all donations received, including free or discounted goods and services.

Donations can only be made anonymously if the amount is HK$1,000 or less. For anything above that, a receipt with the name and address of the donor must be provided and submitted to the Registration and Electoral Office.

Additional reporting by Chris Lau

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