South China Morning Post 19/10/2011 Lai hits back over donations furore Tanna Chong Media tycoon Jimmy Lai Chee-ying has defended multimillion-dollar donations to Hong Kong's pandemocrat community and Catholic Cardinal Joseph Zen Ze-kiun after details of his charitable giving were leaked this week. A spokesman for Lai's private office said the tycoon's private donations to political groups were entirely legal, and "consistent with Mr Lai's well-known support of an open and free Hong Kong society". While his office would not comment on specific donations, documents have surfaced on the file-sharing search engine Foxy which show that the billionaire Next Media mogul spent more than HK$60 million from 2005. Zen was the biggest recipient, receiving more than HK$20 million. It was also stated that the Democratic Party received HK$13,690,000 from 2006 to last year and the Civic Party was given HK$14,566,500 for the same period. The radical League of Social Democrats was awarded HK$1 million last year, while former chief secretary Anson Chan Fang On-sang received HK$1.3 million from 2007 to 2009. A purported cash-flow forecast, printed on another leaked document, also showed the Civic Party would be given another HK$2 million from July to September this year, while the Democratic Party would receive HK$3 million. Past donations made amount to more than HK$60 million, the documents state. Other officials close to Lai said they believed private commercial records had been circulated for political motives. They claim the resultant media frenzy serves as a diversion from more worrying issues for Hong Kong's political establishment. In the longer term, the revelations could be used to smear Zen and his allies across the democratic camp even though all parties and churches in Hong Kong are free to accept local donations without making them public, they said. A senior cleric with the Hong Kong Catholic Diocese, Vicar General Father Dominic Chan Chi-ming, said that Zen could receive donations and spend them at his own discretion. "This is his private matter. We cannot investigate," he said. It is understood Zen has spent donations on supporting official and underground religious workers on the mainland, as well as on religious and charity programmes in Hong Kong. He has helped various projects on the mainland, including infrastructure construction in underprivileged areas. Sponsorships have also been provided for followers who embark on spiritual trips to Rome. Zen could not be reached for comment yesterday but his secretary, Teresa Fung, said the cardinal often directly supported followers financially. For example, he has funded a charity programme in Hong Kong which sends mooncakes to prisoners and the elderly. Anthony Lam, a senior researcher at the Holy Spirit Study Centre, a Hong Kong think tank funded by the church, said Zen would not be the only one who received funding from private donors. Top religious leaders such as cardinals and bishops often received donations from the wealthy, and distributed funding to religious workers in developing countries, such as the mainland, he said. "I believe Cardinal Zen is helping everyone in China, both official and underground church members," he said. Zen has actively pushed for universal suffrage in Hong Kong over the past few years and has been seen as closely linked to the pan-democratic movement. Democratic and Civic Party officials have refused to comment, seeking to protect the identity of their donors. The Civic Party said it did not accept funds that came with conditions. The documents show a variety of other Lai donations, including sums given to the club and fashion impresario David Tang, conservative Washington think tank the American Enterprise Institute, and the World Wide Fund for Nature. The prominent US China scholar Perry Link was also on the list. Additional reporting by Danny Mok, Tanna Chong and Peter So $3.48b Next Media's revenue, in Hong Kong dollars, for the fiscal year to March -South China Morning Post 20/10/2011 Zen: Millions spent on good causes Dennis Chong Cardinal Joseph Zen Ze-kiun has told of his surprise at getting HK$3 million from tycoon Jimmy Lai Cheeying that later grew into a string of donations totalling HK$20 million, some of which was used to fund the underground church on the mainland. "That's a lot. It was surprising," the top Vatican adviser and former head of the Hong Kong Catholic diocese, said of the initial 2005 windfall. Zen, an outspoken democracy campaigner and critic of Beijing, broke his silence at a press conference in the face of a flurry of media reports about the donations. He said Lai never directed him as to how to spend the money, and the donations were given to him personally and were not related to the church. After his initial surprise, Zen said he became more matter-of-fact about the money. "A few millions is a large amount. But think about it. It [Hong Kong] is not a diocese of a backwater town. Very often we need to spend money and indeed the diocese does not have a lot of money ... for a cardinal or a bishop, it is not a huge amount," he said. "Maybe the first time I might say thank you. But afterwards whatever [a donor] gave, I would take it." Supporting charities and followers in Hong Kong and the mainland, as well as funding bishops of less privileged areas, were among other ways in which he spent the money, he said. Lai has not commented in detail on his donations to various political groups - shown in online documents leaked to the media earlier this week to have totalled HK$60 million since 2005. A spokesman said on Tuesday that they were "entirely legal". The media tycoon could not be reached for comment yesterday. Zen, the biggest recipient - shown in the documents, leaked on internet sharing engine Foxy, to have received at least HK$3 million a year since 2005 - said some of the money went on scholarships to 160 mainland students studying in Rome. They also received pocket money of Euro20 (HK$215) to Euro50 during festivals. He said less than HK$1 million of the HK$20 million was left. "It had nothing to do with politics. I hope my life will be open and transparent," Zen said. Some money had been given to bishops in disaster- stricken areas, he said, adding that a wealthy city like Hong Kong should do something for the world. Vatican spokesman Father Federico Lombardi said through his secretary that he had no comment. The Vatican and Beijing do not have formal diplomatic relations, with the biggest impediment to ties being ordination of bishops on the mainland. Zen said he also used the money to fund his trips to Rome and other parts of the world. He had not used any for his own enjoyment. Meanwhile, Democratic Party legislator Fred Li Wah-ming called for a law to govern the income of political parties following Lai's donations to pan-democrat groups. Liberal Party chairwoman Miriam Lau Kin-yee said any law should be carefully designed to avoid interfering with a party's daily operations. Tam Yiu-chung, chairman of the Democratic Alliance for the Betterment and Progress of Hong Kong, said most donors were reluctant to disclose their identities. -The HK Standard Lai splashes $60m on his democrat buddies Media tycoon Jimmy Lai Chee-ying has spent nearly HK$60 million since 2005 to back the pandemocratic camp - including about HK$35 million given directly to leading political parties. Tonny Chan Tuesday, October 18, 2011 Media tycoon Jimmy Lai Chee-ying has spent nearly HK$60 million since 2005 to back the pandemocratic camp - including about HK$35 million given directly to leading political parties. According to leaks to the media yesterday the Civic Party and Democratic Party received the lion's share, getting more than HK$33 million of the pie. Smaller parties such as the League of Social Democrats and Frontier were also among the recipients, securing HK$1 million and HK$400,000 respectively over the same period from 2005 to 2011. Lai also donated HK$1.3 million to former chief secretary Anson Chan Fang On-sang from 2007 to 2009. League chairman Andrew To Kwan- hang confirmed the radical party received HK$1 million in 2010 in support of the "de facto referendum" campaign that, however, failed to block passage of the political reform package for 2012. "Lai wasn't our most important donor," To said. "The HK$1 million was used for the five-district referendum campaign, which cost the LSD HK$3 million. His donation was only one third of it." To said the league would not accept any donation that came with conditions attached. Others on Lai's donation list would not confirm or deny the information. Civic Party leader Alan Leong Kah-kit and Democratic Party vice chairman Sin Chung-kai offered no comment, taking shelter behind the absence of a political law requiring parties to disclose their funding sources. Sin said the Democratic Party has no obligation to make public the information since there is not a party law. Leong said the Civic Party accepted donations from all sectors but stressed it would not agree to conditions a donor may set for the money. He said the party will not comment on matters concerning donors to protect their privacy. The leaks showed the Civic Party began to receive yearly donations from Lai from 2006, starting with HK$2 million in 2006. This was raised to HK$4 million in 2010 and HK$6 million this year. The boost came as society was caught in a bitter row over the radicals' "referendum" bid by having five quit the legislature to be re-elected in the ensuing by-election. The Democratic Party received even more until its split with the Civic Party on the referendum move. According to the leaks, the Democrats received HK$3 million in 2006. The donation fell to HK$1.5 million in 2007 but increased to HK$3 million or more a year from 2008. In 2011, despite Lai's commitment to donate HK$3 million , the Democrats were overtaken by the Civic Party in terms of his political money. Attempts to get Lai to comment last night failed. A call to his mobile phone was answered by a woman. Upon hearing the reporter asking for Lai, she asked for the reporter's identity and said it was a wrong number before hanging up. There is no law regulating political donations in Hong Kong. But political observers point out that donations made by media moguls to politicians could be a sensitive matter because of their access to the media. In October last year, media tycoon Rupert Murdoch was forced to defend his two US$1 million (HK$7.8 million) donations ahead of the US midterm elections. Concerns were aired then whether the donations by Murdoch would affect the editorial policy of News Corp's media arm, despite his assurance that they had nothing to do with editorial policy. At the height of the 2007 legislature by-election to fill the seat vacated by the death of Democratic Alliance for the Betterment and Progress of Hong Kong lawmaker Ma Lik, Lai played a key role in persuading the Democratic Party to drop its member and district councillor Kam Nai-wai as a contender. Chan, also dubbed Hong Kong's conscience, defeated the pro- establishment candidate and former security secretary Regina Ip Lau Suk-yee in the by-election. A source close to Chan said last night the former chief secretary is not prepared to comment on the donations. But the source added it is public knowledge HK$200,000 donated to Chan in 2007 was related to the Legislative Council by-election and HK$100,000 received in 2009 was intended for eye- care charity Operation Light. The document showed that Lai also donated HK$1 million to Chan in 2008. -- Money business for the cardinal Catholic Cardinal Joseph Zen Ze-kiun received HK$20 million in donations from Jimmy Lai from 2005 to 2010, according to documents. Tonny Chan and Mary Ann Benitez Tuesday, October 18, 2011 Catholic Cardinal Joseph Zen Ze-kiun received HK$20 million in donations from Jimmy Lai from 2005 to 2010, according to documents. The donations were HK$3 million each year during the six-year period except in 2006 when Lai, a Catholic, donated HK$5 million. A separate cash flow forecast prepared in January this year showed that "Cardinal Zhen" (sic) will receive HK$3 million in October to December 2011 from Lai. When asked about the donations to the cardinal, the director of the Hong Kong Catholic Social Communications Office, Dominic Yung Yuk-yu, said: "I have never heard about the donations. I personally don't know them. If they are related to the public affairs of the church then I must know." He added, however, that the donations "must be something very personal." Yung said: "You should ask Lai for verification." Zen, 79, became bishop of Hong Kong in September 2002. Known for his stance on social justice, Zen's first action after being named head of the Hong Kong Catholic Diocese was to voice reservations about the proposed anti-subversion laws, required under Article 23 of the Basic Law. He became a cardinal in 2006 and retired in 2009. He remains in Hong Kong, teaching at a seminary and doing other duties. At the 2006 Vatican ceremonies installing 15 new cardinals, including Zen, the Hong Kong delegation included Lai. Lai urged Pope Benedict to come to the mainland "to bring us love and democracy," to which the pontiff replied: "I will come." Lai wrote in Apple Daily on May 30, 2007, that he became a Catholic when he was scared by the thought that after the 1997 handover "counter-revolutionaries" would be arrested by the People's Liberation Army. -Zen tells of Lai cash for hidden churches Retired Cardinal Joseph Zen Ze-kiun yesterday admitted he used media tycoon Jimmy Lai Cheeying's donations to fund underground churches in the mainland. Phila Siu Thursday, October 20, 2011 Retired Cardinal Joseph Zen Ze-kiun yesterday admitted he used media tycoon Jimmy Lai Chee- ying's donations to fund underground churches in the mainland. His admission came as Lai's newspaper Apple Daily published a similar report - two days after details of Lai's donations were leaked to the press. Describing himself as a "spendthrift son," the 79-year-old Zen said he spent most of the money - reportedly HK$20 million from 2005 to 2010 - on matters the diocese could not handle as part of church affairs. These included financing underground churches in the mainland, supporting charities, providing scholarships to 160 church staff for further studies in Rome and giving pocket money to visiting priests of HK$5,000 each. He also travelled business class to Rome about six times a year to attend meetings, saying he needs a certain standard of comfort because of his age. He insisted that only a small amount of money was spent on underground churches. "I am a spendthrift. I used up the donations very quickly. I hope Lai will keep giving to me," he said, laughing. Zen said he still has "a couple of hundred thousand" left and that the money is stored inside the Shau Kei Wan monastery where he lives. He stressed the money was for his personal use and was not political. "It is 100 percent obvious that it is for me, not the diocese. As to what the money is for, he [Lai] has never said a word," Zen said, stressing he has also never told Lai how he spent it. He said he was a little surprised when he first received HK$3 million from Lai. But the diocese has huge expenses. In the beginning, Zen said, the donations were made out in checks. Later they came as cashier's orders. "Maybe he did not want other people to know that he has been giving me money," Zen said. He described the internet leaks as "very unfortunate" but said he is willing to come up with details if the public wants them. Zen did not answer when asked if the HK$5 million Lai gave him in 2006 - HK$2 million more than the amount he received in other years - was a reward for arranging for Lai to meet the pope at the Vatican. Lai's gifts to Zen have raised suspicion Lai may have treated them as charitable donations, which are exempt from tax. Lai's assistant did not return calls from The Standard. Philip Hung, chairman of the Taxation Institute of Hong Kong, said Lai could not treat the Zen donations as charity unless the money was intended for use by the diocese. Chan Sze-chi, senior instructor of religion and philosophy at the Baptist University, said it is inappropriate for Zen to donate money to underground churches because it gives the diocese a negative image.