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Hongkong Post 'didn't like results' of consultant's report into reforms and terminated project

Consultant denies failing to finish work - but Hongkong Post complains of poor research

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Hongkong Post claims two reports weren't up to scratch. Photo: SCMP Pictures

A Dutch consultant who took on a local government-commissioned study into Hongkong Post seven years ago has hit back at accusations he failed to complete the project.

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A inquiry had found the city's post office had abandoned the study - which recommended reforms that would have resulted in the department being hived off from the government. The post office, a government entity, has operated as a trading fund since 1995.

The study first came to light in Hongkong Post's 2008 annual report, which said it had appointed an unnamed "reputable international consultancy firm" to examine its market position in the global postal sector and to help it find alternatives "other than keeping the status quo".

The asked to see the study report after Financial Secretary John Tsang Chun-wah pledged in his latest budget in February to review the business operations of the 174-year-old department.

Hongkong Post said there was no such report as the consultant had failed to complete the job and the contract was terminated about one year into the study.

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The department initially declined to disclose the name of the company and the amount of public money involved. After the published the story on March 30, it identified the consultant as Netherlands-based Hans Kok Business Consult and said the original consultancy fee was HK$4.12 million.

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