HK Govt: cross-border use of smart card has no privacy issue

 

"The card readers only capture transaction related information, including the date and time of the transaction, the identity of the relevant service provider, the transaction value, the remaining balance on the card and the card number," said Chan. "No personal data of the cardholder is involved in the process. As a result, personal data won't be leaked through cross-boundary card readers."

 

Asked if the Secretary for Justice and the Privacy Commissioner for Personal Data were consulted on the use of electronic money in Hong Kong and Shenzhen, Chan said that there is no need to do such consultation. "As long as the ultimate proposal adopted complies with the relevant laws and regulations of both cities, it can start operation," said Chan. 

 

In the cases of investigation of cross-border criminal activities, Chan noted that the law enforcement agencies will liaise with their counterparts of the mainland through existing channels, and ensure that the cases are processed in accordance with the relevant statutory requirements, including that on the protection of personal data privacy. "The law enforcement agencies will seek advice from the Department of Justice if needed during the process," Chan said.

 

Despite its convenience, the Octopus payment system repeatedly charges users more than it should. According to Chan, Octopus received and handled 689 and 536 such cases in 2008 and 2009 respectively, involving about HK$36,000 and HK$28,000 in each of the years in Hong Kong.

 

"Most cases of wrongful charging on Octopus cards arose from operational mishandling by service providers, while a small portion of the cases were due to transaction procedures not correctly followed by cardholders," said Chan. 

 

He quoted Octopus as saying that more than 95 percent of the valid cases of wrongful charging on smart cards were handled and arranged for refund to cardholders within seven business days.

 

As at end 2009, the total of card deposits held by Octopus amounted to about HK$720 million, according to Chan.