Resettlement_Department_Annual_Report_1970-1971 — Page 27

37. The policy of payment of a flat rate of $6,000 ex-gratia cash allowance in lieu of shop premises in domestic estates to squatter shops involved in clearances was introduced in 1969 when it became apparent that there were not enough shops in resettlement estates to accommodate the large number of shops involved in clearances. During the first year of the application, many difficulties were encounted, the main one being the failure of the policy to provide a higher rate of compensation for the larger and more prosperous squatter shops involved in clearances. As a result, a sliding scale, which takes into account the size of the shop, and, which permits a maximum cash allowance of $20,000 was introduced in the course of the year. This new scheme was based on a rate of $120 per square foot for squatter shops under 50 square feet in area and $30 for every square foot in excess of 50 square feet in area. The new policy was retrospective so that those shopkeepers whose premises had already been removed, but who qualified for more than $6,000 under the new scheme, were eligible to receive the balance.

38. The figures in paragraph 37 are considerably less than those relating to the previous year. The reduction is mainly attributable to a combination of the postponement of a number of major clearances and the delay in the completion of new blocks in various estates, such as Shek Lei, Yau Tong, Tsz Wan Shan and Hing Wah Stage I. One of the postponements referred to was the Lung Cheung Road Extension Clearance which would have cleared 6,985 people in order to enable roadworks designed to facilitate a smoother traffic flow in North East Kowloon. Another scheme postponed, involving 1,794 people, was the scheme to widen the Tung Tau Tsuen Road and, in conjunction with this, to build a Government Low Cost Housing Estate. Both of these projects were on account of difficulties in respect of land resumption and suitable resettlement respectively. The Tin Hau Temple Road Development Clearance was also delayed as Hing Wah Estate Stage I could not be completed in time for the intake of the squatters. The biggest operation during the year was the clearance of an area involving 122 structures and 109 factories/workshops/shops at Anchor Street, Tai Kok Tsui for the construction of a public playground; a total of 1,019 people was resettled from this area. Other notable clearances were those of borrow areas in connection with the Kai Tak Airport Runway Extension involving the clearance of 2,338 people. Almost at the end of the year under review, arrangements started for the resettle- ment of about 1,200 tenants from Chong Hing Mansion in Western District which had been declared a dangerous building. As this build-

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