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 Hong Kong. Around $1,000 billion in loans
is currently extended to families and businesses in Hong Kong against
the security of registered property. In 2004, 124 253 matters were
registered.
The Land Registry has some 500 staff members.
It is organised in the Urban Land Registry, serving Hong Kong Island
and Kowloon, and eight New Territories Land Registries. A single
document imaging centre serves all the registries and there is also
a Reports on Title Office. The department is responsible for registering
documents affecting land and keeping land records for public inspection.
The department operates on a Trading Fund basis, under which it
has to meet its operating costs out of its revenues from fees and
charges, and finance investments in service improvements.
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 matters to be registered.
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 Hong Kong at their own offices and at
every search office in the registry through the Direct Access Services
and the Cross District Search Service, respectively.
The Land Registry is implementing a strategic
change plan to improve the security of title that is provided and
further enhance the efficiency of its services. The plan involves
re-engineering of business practices and organisation structure
as well as introduction of new technology and new legislation.
The first elements of the plan were put in place
in 2002. Amendments to the Land Registration Ordinance were passed
and allowed the department to plan for major organisational changes.
The amendment ordinance allows the department to offer a unified
registration and information service for the whole territory in
place of the separate urban and New Territories registries. This
will be supported by a new IT system, the Integrated Registration
Information System (IRIS). The main development of IRIS has been
completed and testing of the system was carried out during the year.
The IRIS is expected to be put into operation in February 2005.
Enhanced services including shorter business processing time, fast
Internet search service, convenient one-stop counter services and
a Chinese language facility will be introduced to improve service
quality.
Another element of the plan is the introduction
of Land Titles Registration. The present deeds registration system
has been in operation since 1844. To bring Hong Kong's system of
land registration in line with most common law jurisdictions where
land title systems apply, the Land Titles Bill was introduced into
the Legislative Council and was passed in July 2004. Passage of
the bill holds out the promise of title registration being introduced
in Hong Kong, giving owners and purchasers increased security and
improving the efficiency of conveyancing. The title register is
also backed by an indemnity scheme to give greater protection against
fraud or error. Before that promise can be realised, a great deal
of further work is required. It is expected that at least two years
will be required before commencement. Further development of IRIS
is needed to support the introduction of title registration.
|