Ombudsman says different types of private school charges to be scrutinized

The Ombudsman said today that the Education Bureau (EDB) has agreed to start vetting refundable fees charged by private schools, which can cost millions of dollars, as it has failed to grasp the current situation parents face, RTHK reports.
An investigation by the watchdog found nothing wrong with the way officials scrutinize increases in regular fees at private or Direct Subsidy Scheme schools, even though increases of 20 percent in one go have been reported.
But the authorities have not even been looking at refundable debentures, school construction fees and nomination right fees, which can range from a few thousand dollars to several million.
"Over the years, the bureau has been adopting a liberal approach in its interpretation of relevant provisions based on the legal advice received a long time ago, which considered the collection of other refundable charges by private schools a private financial arrangement between the schools and parents, and hence not requiring approval," an Ombudsman report says.
"During the course of this direct investigation, we pointed out to EDB that its long-established practice is incompatible with regulation 61(1) of the Education Regulations."
The Ombudsman said that after seeking legal advice, the bureau has since agreed that such fees should be subject to its approval.
The watchdog also said that when it comes to non-refundable fees, the bureau was unable to provide clear details on the overall application mechanism, procedures and approval criteria, showing that "it has not fully comprehended the situation about other charges collected by private schools".
The report said the officials are planning to seek further professional advice before drawing up new approval procedures.
The Ombudsman urged the bureau to also set up a database on charges collected by private schools to keep track of the situation.