World434_DPM_02

As of January 1, 2025, SecureBox Self Storage has not made any changes to the Emergency Exit Signage and Lighting. If the FSD inspection report is considered a fire safety direction, what is the maximum potential fine that Securebox Self Storage might receive under Hong Kong law? 

Reply to me here in a short message, giving the main parts of an email that I can review. Give a brief explanation of your reasoning in it. Assume that SecureBox Self Storage is a composite building.

Subject: Maximum Potential Fine – SecureBox Tsuen Wan Fire Safety Non-Compliance

Following up on your earlier request for information on the potential penalty exposure for the SecureBox Tsuen Wan facility's failure to remediate the Emergency Exit Signage and Lighting deficiency, I have reviewed the FSD Inspection Report and the applicable Hong Kong legislation.

# Summary
The maximum potential fine as of 1 January 2025 is HK$730,000.

# Analysis
The applicable law is the Fire Safety (Buildings) Ordinance (Cap. 572). Under Section 5(8) of Cap. 572, an owner or occupier who fails to comply with a fire safety direction without reasonable excuse is liable on conviction to:
1. A fine at Level 6; and
2. A further fine of HK$10,000 for each day or part of a day during which the failure continues after the expiry of the period specified in the direction.

Under Schedule 8 of the Criminal Procedure Ordinance (Cap. 221), Level 6 equals HK$100,000.

The FSD Inspection Report dated 15 September 2024 required remediation of the Emergency Exit Signage and Lighting deficiency within 45 days, establishing a compliance deadline of approximately 30 October 2024. As of 1 January 2025, the failure has continued for approximately 63 days after the deadline.

# Calculation
- Base fine: HK$100,000
- Daily fine: HK$10,000 × 63 days = HK$630,000
- Total: HK$730,000

Please note that this figure will continue to increase by HK$10,000 for each additional day of non-compliance until remediation is completed.