The Property Management Services Authority (PMSA) today announced that pursurant to Section 5(1) of the Property Management Services Ordinance (PMSO), two draft Codes of Conduct entitled “Handling Moneys Received on Behalf of Clients by Property Management Companies” and “Obligations of Property Management Companies Regarding the Ending of their Appointment” respectively have been prepared. In order to allow property management company (PMC) and property management practitioner (PMP) licensees to follow the guidelines set out in the codes in an effective and professional manner, the PMSA has also prepared relevant Best Practice Guides for the licensees to follow suit. These two Codes of Conduct will be gazetted and take effect in early May.
Code of Conduct – “Handling Moneys Received on Behalf of Clients by Property Management Companies”
In order to promote PMC and PMP licensees to properly handle property management (PM) related moneys collected on behalf of their clients, this Code of Conduct requires licensed PMCs to develop a proper mechanism, including the following elements:
- Entering into agreements with clients about establishing proper mechanism for handling moneys received on behalf of clients;
- Ascertaining particulars of payers and purposes of payments;
- Issuing receipts;
- Keeping moneys and related items properly;
- Setting authorisation for withdrawal of moneys;
- Keeping records; and
- Checking records.
Code of Conduct – “Obligations of Property Management Companies Regarding the Ending of their Appointment”
In order to improve the handover work of a PMC at the end of its appointment, this Code of Conduct stipulates the handover responsibilities that the PMC should carry out, including:
- Arrangements before handover;
- Arrangements for delivering movable properties;
- Arrangements for handover of movable properties in the capacity of a secretary or treasurer of an owners’ organisation; and
- Preparing income and expenditure account, balance sheet and arranging for audit.
Mr Tony TSE, the PMSA Chairperson said, “The Codes of Conduct and Best Practice Guides provide PMCs and PMPs with practical guidelines in handling the collection of PM related moneys on behalf of their clients, as well as the handover work of a PMC at the end of its appointment. The purpose is to strengthen the PMCs’ financial management in respect of their PM services and to improve the handover work between the outgoing and the succeeding PMCs, so that the industry is able to provide high-quality PM services to the public more effectively. I hereby appeal to the industry to actively support and follow the codes and guidelines, and work together to promote the industry’s development for enhancement of quality and professionalism.”
The above codes and guidelines are formulated in consultation with the PM industry and owners’ organisations, which include the holding of a focus group discussion online on 24 February, whereby views from around 30 representatives of 13 industry associations were collected. The feedback collected from the consultation has been appropriately reflected in the codes and guidelines.
For details regarding the Codes of Conduct and Best Practice Guides, please refer to the following PMSA webpage: https://www.pmsa.org.hk/en/regulatory/regulating-licensees/#reg-04.
The PMSA will issue other Codes of Conduct and Best Practice Guides covering different property management areas in order to provide guidance to the industry, including:
- Handling instrument of appointing a proxy regarding meetings of owners’ corporation / owners;
- Provision of prescribed information and financial documents to clients;
- Prescribed conditions of licence;
- Mechanism of handling emergencies;
- Personal data protection;
- Managing scaffolding works to be carried out at a property;
- Carrying out procurement for clients; and
- Mechanism of managing distribution of promotional material at a property.
The PMSA has issued the Codes of Conduct in relation to “General Code of Conduct”, “Complaint Handling Mechanism of Property Management Companies”, and “Effective Control over Property Management Business by Property Management Companies” as well as related guides for the property management sector.
Chairperson TSE added, “Since the implementation of the licensing regime from August last year, as of yesterday (27 April), the PMSA has already issued over 2,700 PMP and PMC licences.”
Ends/Thursday, 29 April 2021
Issued at HKT 18:00