NYTimes.com

2 Top Officials in Hong Kong Resign in Wake of Protests

July 17, 2003
By KEITH BRADSHER

HONG KONG, July 16 - Two weeks of street protests here
produced a government crisis tonight as two top officials
announced their resignations and the territory's chief
executive said he would fly to Beijing on Saturday to
consult China's rulers about what to do next.

The resignations of Regina Ip, the secretary of security,
and Antony Leung, the financial secretary, represent a very
public humiliation for Beijing because the two had the
reputation of enjoying particularly close ties to top
Communist officials.

Mrs. Ip was widely seen as Beijing's enforcer, sending
police and immigration officers to perform sometimes
politically controversial raids. Mr. Leung is a former
student radical who married China's Olympic diving gold
medalist, Fu Mingxia, last summer.

After Tung Chee-hwa, the chief executive, Mrs. Ip and Mr.
Leung attracted the most vehement criticism at a march on
July 1 that drew a half-million people, most of them to
protest a stringent internal-security bill that Mrs. Ip had
championed.

The resignations tonight came despite Beijing's hardening
stance toward the rallies here in Hong Kong, which has been
a special administrative region of China since Britain
handed it over six years ago.

Gao Siren, the head of Beijing's liaison office here,
called on Tuesday for Hong Kong residents to focus more on
the economy than on politics. The Hong Kong edition of the
official China Daily warned in an editorial on Monday that
the march on July 1 and follow-up rallies on July 9 and
last Sunday represented "a vehicle for subverting the
political system" here.

Richard Tsoi, one of the main organizers of the July 1
march, said that demonstrators wanted lasting protections
for civil liberties and broad democratic reforms to the
political system here much more than the resignations of
ministers. "We still think we have a long way to go," he
said.

Near the front of the march was a three-headed effigy of
Mrs. Ip standing at Mr. Tung's left side and waving a
butcher's knife while Mr. Leung peeked out from behind Mr.
Tung's right shoulder, a reference to Mr. Tung's shielding
him in a tax scandal.

Mrs. Ip said she was resigning for unspecified personal
reasons. Mr. Leung, whose resignation came two hours later
and seemed to catch the government by surprise, said he
felt that he had completed budgetary and economic stimulus
plans that he wanted.

Mrs. Ip, who kept a sword from the People's Liberation Army
at the front of her desk, has overseen the city's police,
immigration, customs and other uniformed officers since
July 1998.

Her efforts to push through the proposed security
legislation, demanded by Beijing but deeply unpopular here,
became almost as controversial as the bill itself. She
questioned last autumn the value of democracy in protecting
civil liberties and suggested that Hitler gained power
because of universal suffrage, a position that historians
dispute because of Hitler's reliance also on political
violence. Three days before the July 1 march, she declared
that she would not feel any pressure no matter how many
people showed up.

Mrs. Ip and Mr. Tung said in separate statements this
evening that she had actually submitted her resignation on
June 25, and that Mr. Tung had tried to talk her out of it
before finally accepting it. Resignations for top officials
become effective 30 days after submission, so Mrs. Ip will
leave office on July 25.

The government's insistence that Mrs. Ip gave her
resignation three weeks ago but that nobody found out about
it until now struck political experts. "The government
obviously doesn't want it to look like she's resigning
under pressure from the demonstrations," said Michael
Davis, a professor of law and public affairs at the Chinese
University of Hong Kong.

Mr. Leung is the third-ranking official in the government,
after Mr. Tung and Donald Tsang, the chief secretary. But
he has kept a very low public profile since he saved
himself $24,000 by buying a Lexus LS430 luxury sedan a
month before he raised luxury car taxes steeply in March as
part of an unpopular series of tax increases.

The government's anticorruption agency finished an
investigation of him this week but has not made the results
public. Mr. Leung did not address the subject in announcing
his resignation tonight.

Mr. Leung said in a statement that his resignation was
effective immediately; Mr. Tung waived the normal 30-day
delay for the resignation of ministers.

Mr. Tung did not announce successors for Mrs. Ip or Mr.
Leung. As minister-level appointments, their successors
must be approved first by Beijing.

Mr. Tung announced on July 5 that he was removing three of
the most controversial provisions from the bill, including
one that would have allowed the government to ban any Hong
Kong group linked to an organization banned on the mainland
for national security reasons.

But the march so rattled the city's business leaders that
the chairman of the pro-business party resigned from Mr.
Tung's cabinet the following night. That left Mr. Tung
without the votes to push the bill through the legislature
and forced him on July 7 to postpone further consideration
of the bill. No new timetable has been set.

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