Terms and Modes of Cooperation

Upon receipt of the subsidy, successful applicant must proceed to organize the activity as proposed. If there is to be any significant change to the terms of its Memorandum and Articles of Organization/ in the scale, format, schedule, nature and / or budget of the activity as originally proposed, prior approval from LCSD must be sought.

The applicant shall not assign, sub-contract or otherwise transfer any share or interest from the approved subsidy to any other party without the prior written consent of LCSD.

The activity must be completed within three months after LCSD’s approval has been given. If the proposed activity should last for more than four months, bi-monthly progress report should be submitted to LCSD.

The applicant shall make the best endeavours to generate income from other sources through sponsorship, donation or fundraising activities according to the Approved Budget. The applicant shall appropriately acknowledge donations from individual(s) or commercial organizations in such way as not to misrepresent the statement of account of the event and to inform LCSD of any changes to the donors or sponsors during the course of the activity.

The applicant should refund forthwith the Subsidy immediately upon demand, in whole or in part as shall be decided solely by LCSD should the applicant be found:

(a)

to have failed to comply with any of the Terms and Conditions of the Scheme;

(b)

to have failed to implement any of the approved activities;

(c)

that any of the approved activities is materially affected by delay, change of timing, change of scope, cancellation or other circumstances which are not beyond the control of the applicant;

(d)

to have temporarily or permanently ceased the applicant’s business or operation;

(e)

to have cancelled the approved activity without prior notice to LCSD;

(f)

to have made a profit for the applicant;

(g)

not to have opened the activity to the public;

(h)

the continued subsidy of the applicant or the continued engagement of the Scheme is contrary to the interest of national security; or

(i)

to have engaged or is engaging in acts or activities that are likely to constitute or cause the occurrence of offences endangering national security or which would otherwise be contrary to the interest of national security.

In case of bad weather while postponement of the activity is not possible, subsidy will be given to expenditure for the preparation work subject to the submission of a report and original receipts.

The applicant of the organization who certifies the statement of accounts of the activity, shall be responsible for the accuracy of the statement and shall undertake to fully refund to LCSD any sum found to be in excess of the approved Subsidy under the Scheme in the event of any inaccuracy. Any unspent balance of the subsidy must be refunded to LCSD in full immediately.

Due acknowledgement should be arranged in all publicity materials for the activity (including event banners, posters, invitation cards, other printed materials, etc.) by stating that it is subsidized by the “Culture, Sports and Tourism Bureau” and “Leisure and Cultural Services Department”. The applicant shall provide LCSD in advance with at least TWO (2) copies each of all publication and promotion materials related to the above activity for audit purpose. Should there be any ceremony to be held in the activity, LCSD should be invited to send a representative to officiate at the ceremony.

All activities, accounting records and receipts of all sponsorship and their disbursement should be subject to LCSD inspection and audited by LCSD at any time as consider necessary.

10.

LCSD would not be responsible for any claim, demand and legal liability arising from the staging of the activity being subsidized. The applicant shall ensure the safety of all officials / participants / spectators of the activity. The applicant shall cover the activity with appropriate insurance policy including policy of Public Liability Insurance in the joint names of the HKSAR Government and the applicant at an insured sum not less than HK$6.5 million a reasonable sum commensurate with the risk exposure involved, which shall indemnify and keep the Government (including LCSD) indemnified against losses, damages, liabilities, claims, actions and proceedings in respect of death and personal injury of all officials / participants / spectators AND all losses or damages of property arising from or related to the organizing and carrying out of the activity.

11.

A copy of the insurance shall be delivered, free of charge to LCSD at such time as may be specified by LCSD.

12.

The applicant should inform the LCSD within TWELVE (12) HOURS of any accident irrespective of whether any injuries, loss of or damage to person or property are involved.

13.

If the organizer wishes to accept and acknowledge commercial sponsorship for the activity, prior consent should be obtained from LCSD. In case of any changes to the sponsors during the course of the activity, the applicant should inform LCSD. As a general rule, the applicant shall not accept sponsorship from tobacco or alcohol companies or sponsorship which may affect the image of the Government (including LCSD).

14.

For the financial statement certified by a Certified Public Accountant, the original copy of all payment vouchers and accounting records should be kept by the applicant for NOT LESS THAN SEVEN (7) YEARS from the date the audited accounts and/or statement of accounts are submitted to LCSD.

15.

The applicant shall allow the Government, the Audit Commission, LCSD or their authorized representatives to have unhindered access to the accounts of the applicant for enquiring, examining and auditing all the records, accounts and supporting vouchers relevant and incidental to the subsidized activity.

16.

The applicant shall explain to the Government, the Audit Commission, LCSD or their representatives any matters relating to the receipt, expenditure or custody of any monies derived from the Scheme.