In Hong Kong, the security given by legal title to property is at present provided by a deeds registration system operated by the Land Registry under the Land Registration Ordinance. This legislation was first enacted in 1844 and is the oldest local law still in force in the region. Over $1,000 billion in loans is currently extended to families and businesses in Hong Kong against the security of registered property.

    The Land Registry has around 500 staff members who run the Urban Land Registry and eight New Territories Land Registries together with a document imaging centre and a reports on title office. It is responsible for registering documents affecting land and keeping land records for public inspection.

    The Land Registration Ordinance provides that documents affecting land have priority according to their respective dates of registration. Registration is not mandatory but the benefit that it gives through protecting interest in land creates a strong incentive for it to be undertaken.

    A land document is registered by delivering it to the appropriate land registry with a memorial, which contains the essential particulars of the document, and the prescribed fee. These particulars are then entered into a computerised land register for the relevant piece of land or property. The registered land document is scanned and stored as an electronic image on an optical disc.

    Each land register provides a record of transactions affecting a property, starting from the grant of the relevant government lease. The registers, memorials and related land documents are available for search by members of the public at every search office, on payment of a fee. Subscribers and customers may conduct a one-stop search for properties anywhere in the HKSAR at their own offices and at every search office in the registry through the introduction of the Direct Access Services and the Cross District Search Service, respectively.

    The Land Registry is implementing major changes to improve the security of title that is provided and the efficiency of its services.

    Between March and December, a contract to convert all 3.5 million plans held by the Registry into digital colour images was undertaken. This will allow quicker access to plan information, protect original documents and allow integration of plan data in the next generation of information management systems.

    In July, the Land Registration (Amendment) Bill was passed by the Legislative Council. Together with the signing of a $150 million contract for the delivery of an Integrated Land Registration Information System the previous March, this will allow a major transformation of services to take place in early 2004. The nine existing registries will be merged into a single registration office for the whole region; the registration process will be re-engineered to reduce service times and provide search and information services through the Internet.

    During the year, the Registry worked with the Housing, Planning and Lands Bureau and interested parties to finalise a revised Land Titles Bill for introduction into the Legislative Council. If it is enacted this legislation will provide for title to land to be created by the act of registration, rather than having to be established by research of documents lodged under the deeds register. This will provide much greater certainty of title, simplify conveyancing and increase market efficiency.