Hong Kong's Leader Plans to Quit

[J-10]

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Hong Kong's No. 2 ranking official, Chief Secretary Donald Tsang walks outside the Hong Kong government headquarters Wednesday, March 2, 2005. Chief Executive Tung Chee-hwa has asked to resign with two years left in his term because of poor health, local media reported Wednesday. The front-page reports in Hong Kong's major newspapers cited unidentified sources in Beijing as saying that the unpopular Tung is quitting and the No. 2 ranking official, Donald Tsang, would take over. (AP Photo/Vincent Yu)

Reports: Hong Kong's Leader Plans to Quit
Wed, Mar 02, 2005
By WILLIAM FOREMAN, Associated Press Writer

HONG KONG - Hong Kong's unpopular leader could resign as early as next week because of ill health, ending a rocky eight years in office that saw massive protests for greater democracy in the former British colony, local media reported Wednesday.

Most of the Chinese-ruled territory's newspapers filled their front pages with bold headlines and stories saying that unidentified "sources in Beijing" have confirmed that Chief Executive Tung Chee-hwa has tendered his resignation and that it was accepted.

But some of the reports disagreed about whether China's leadership wanted Tung to go. The Ming Pao Daily News reported that Chinese leaders asked Tung to stay on, but he insisted on quitting and they finally relented. The stated reason for resigning would be bad health, the paper said.

However, the Hong Kong Economic Journal — respected for its sober analysis — reported that Beijing lost faith in Tung's ability to lead the government and ensure greater stability in Hong Kong. The Communist leadership thought it better for Tung to leave sooner than later, the paper said.

After Tung flew to Beijing on Wednesday for a series of meetings, he declined to directly address the reports of his resignation. "I know there are many questions you are concerned with, and I will make an announcement at an appropriate time," Tung told reporters.

The South China Morning Post reported that the No. 2 ranking official, Donald Tsang, would take over until a new leader was elected within six months. Tsang is a lifelong bureaucrat who — unlike Tung — has a reputation for being a savvy politician.

Tung has led Hong Kong since Britain returned the territory to Chinese rule in 1997 under a "one country, two systems" formula designed to give the city a wide degree of autonomy and limited democracy. He was elected by an 800-member committee loyal to Beijing.

The portly 67-year-old Tung, who sports a gray crew cut, is a millionaire scion of a Shanghai shipping family. Many believe his privileged background and career as an elite businessman has hindered his ability to connect with the common people.

Tung's many critics have accused him of mishandling major crises, including the 1997 Asian financial crisis that threw Hong Kong into recession and the 2003 outbreak of severe acute respiratory syndrome, or SARS, which killed hundreds and ravaged the city's economy.

He has also resisted calls for greater democracy, including the freedom for voters to directly elected their leader and legislature. Twice in the past two years, half a million Hong Kongers have marched in the streets demanding more democracy.

There has been a steady flow of rumors in recent years that Tung would quit before his second five-year term ended in 2007. The speculation intensified this week when it was announced that Tung would join an elite advisory panel to the Chinese parliament.

It was also reported that Tung would soon be promoted to vice chairman in the group, called the Chinese People's Political Consultative Conference. The body convenes Thursday in Beijing, and Tung was to leave today to join the group.

The theory was that Tung's status of vice chairman would give him the ranking of a state leader in China's hierarchy. The promotion could be a face-saving way to remove him from his Hong Kong office.

Lee Kwok-keung, a CPPCC member from Hong Kong, told reporters it was still unclear whether Tung would resign.

The mass-market Apple Daily reported that Tung could resign as early as next week after he's promoted to vice chairman.

One explanation for his resignation might be that it would trigger an election within the Beijing-backed 800-member committee, which would install a new leader who would serve a full five-year term.

This would help Beijing stall on dealing with growing demands to make the currently scheduled 2007 election for Tung's replacement more democratic. Such political reforms could be put off until 2010.
From (http://story.news.yahoo.com/news?tmpl=story&cid=516&ncid=721&e=10&u=/ap/20050302/ap_on_re_as/hong_kong_tung)

[Bluezoo]

Hong Kong leader set to resign as China tires of territory's problems

HONG KONG (AFP) - Hong Kong leader Tung Chee-hwa looked set to resign, cutting short a turbulent eight-year tenure overshadowed by economic recession, policy gaffes and unease over China's intereference.

Local newspapers splashed Tung's resignation across their front pages, but the governments in both Beijing and Hong Kong refused to confirm or deny whether the territory's first post-colonial leader was stepping aside.

Reports said Tung, handpicked by Beijing to be Hong Kong chief executive in 1997, handed in his resignation last month citing poor health.

The Standard newspaper said Wednesday that it had been accepted by the Communist Party's ruling politburo.

Analysts said Tung's decision was likely hastened by a Chinese leadership eager to bring an end to an unpopular administration which has rocked the confidence of the free-wheeling territory of seven million people.

The South China Morning Post said Tung could be out of office by the end of this month, adding that civil service chief Donald Tsang would succeed him until a new election later in the year.

Tung declined to confirm or deny that he plans to resign, telling reporters in Beijing that he will make any announcements at "an appropriate time".

The Chinese government in Beijing also declined to comment. "No, we have not heard that news," said an official from the Hong Kong and Macau Affairs Office.

Speculation that Tung, a former shipping tycoon, could step down early has been intense since he was appointed Monday to fill a senior honorary political post in mainland China.

The Standard said Tung would announce his resignation immediately after his confirmation as vice-chairman of the Chinese People's Consultative Conference (CPCC) on March 12.

Tung, 67, has had a torrid time since taking office in 1997.

The first years of his tenure coincided with the Asian financial crisis, record unemployment in Hong Kong and a crash in the city's property market which hit many ordinary citizens hard.

His possible early exit has been mooted since 2003 when his government was plunged into crisis after more than 500,000 people took to the streets to protest proposed anti-subversion laws proposed by China.

His position was further weakened last year by a bruising battle with pro-democracy groups over the timing of democratic reforms. Another half million people marched through the streets in July 2004 to demand universal suffrage to elect Tung's successor in 2007.

His tenure reached its nadir in December when Tung and his cabinet were given a public dressing down by Chinese President Hu Jintao for their poor performance.

Analysts said Tung's expected resignation showed China had finally lost patience.

"It's an acknowledgement by Beijing that Tung is not as good a leader as they would like him to be," former legislator Christine Loh, the head of independent policy think tank Civic Exchange, told AFP.

Tung's most wounding blows came from a long-running dispute with opposition lawmakers over the timing of democratic reforms promised in the post-colonial Basic Law mini-constitution.

Hong Kong returned to China under a system known as "One Country, Two Systems" which was supposed to allow the capitalist enclave in southern China a high degree of autonomy.

Democrats insisted the mini-constitution allowed the election of the next chief executive in 2007 through universal suffrage, a view rejected by Beijing.

While democrats welcomed his expected resignation, analysts said China's move to replace Tung early could be aimed at reining in the Hong Kong democracy movement.

"There's a bigger political reason they want to achieve," said Anthony Cheung, a political professor at City University. "The only reason would be to end the political debate on constitutional reform in the city."

Democrats fear Tung's resignation will lead to the hasty appointment of a new chief executive to a five-year term this year, effectively delaying any decision on democratic reform until at least 2010.

It would likely mean the next chief executive would be chosen by the same elite Beijing-backed panel that chose Tung.
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