Cheung Sha Wan Developer Fined HK$770,000 for Undisclosed Commission Rebates
On.cc · 2 SOURCESabout 2 hours ago2 MIN
Summary
Twin City Holdings Limited, the developer behind the Cordis residential project in Cheung Sha Wan, was ordered to pay a HK$770,000 fine on Tuesday, September 29, 2026, after being found guilty of 11 charges under the Residential Properties (First-hand) Sales Ordinance. The Kwun Tong Magistrates' Courts ruled that the developer failed to record essential transaction details, including price discounts and commission rebates offered through estate agents, in the official Transaction Record Register within the required 24-hour window following the signing of preliminary agreements for 11 units. This case marks the highest penalty ever issued under the ordinance, prompting the Real Estate Regulatory Agency to issue a reminder to all sellers about compliance requirements.
Key Points
- Developer Twin City Holdings Limited convicted of 11 charges under the Residential Properties (First-hand) Sales Ordinance
- Court imposed a HK$770,000 fine, the largest penalty in the ordinance's history
- Violation involved 11 units where payment terms were not recorded in the Transaction Record Register within 24 hours
- Unrecorded details included price discounts and commission rebates offered to buyers through estate agents
- The Real Estate Regulatory Agency reminded sellers that commission rebates must be listed in the Transaction Record Register
Why It Matters
The record-setting fine underscores the Real Estate Regulatory Agency's commitment to enforcing transparency in Hong Kong's first-hand property market, where buyers rely on the Transaction Record Register to make informed decisions. This case serves as a stern warning to developers that non-compliance with disclosure requirements carries significant financial consequences, potentially reshaping industry practices regarding commission arrangements and sales documentation.
The record-setting fine underscores the Real Estate Regulatory Agency's commitment to enforcing transparency in Hong Kong's first-hand property market, where buyers rely on the Transaction Record Register to make informed decisions. This case serves as a stern warning to developers that non-compliance with disclosure requirements carries significant financial consequences, potentially reshaping industry practices regarding commission arrangements and sales documentation.