HOUSING AND DEVELOPMENT BOARD (Computer balloting of flats)

Mr Low Thia Khiang asked the Acting Minister for National Development whether the Housing and Development Board will (i) enlighten the public on how its computer balloting of flats is conducted; (ii) assure the public that no computer fraud can be attempted under the system; and (iii) invite the public to witness the process of computer balloting.

The Acting Minister for National Development (Mr Lim Hng Kiang): Sir, HDB flats are offered for booking in two types of estates: non-mature and mature estates.

In the balloting for non-mature estates, where there is more land available for development, priority is accorded to new applicants over upgraders. New applicants, who have never bought a flat direct from HDB before, are given higher chances of success than upgraders. Applicants who have been unsuccessful for many times are also given greater chances of success than applicants who have tried for fewer times.

For mature estates, priority is given in the balloting to resident over non-resident applicants. Resident applicants are defined as those who have been residing in the mature estate of their application for more than five years. In the computer balloting for mature estates, resident applicants are accorded higher chances of success than non-resident applicants. The actual number of flats apportioned to each category, of course, depends on the total number of flats available, and the number of resident and non-resident applicants.

In using the computer balloting system, HDB has built in all the controls necessary to ensure that the system is fair to all applicants. The system itself, as well as the actual balloting carried out every quarter, is audited both by HDB's internal auditors and by independent private auditing firms, selected by way of open tender. The auditors check for system integrity, and ensure that the balloting is carried out impartially and in accordance with HDB's flat allocation policies.

Since the balloting process is done through the computer, I am not sure what or how the Member wants the public to witness in this processing. In any case, HDB distributes information leaflets on the Booking System to all flat applicants. The public is also kept informed of the priority accorded to the different categories of applicants, through the mass media. In addition, the number of flats offered each quarter, the results of balloting, and the success rates for each new town are advertised by HDB in all the major newspapers.

Mr Low Thia Khiang: The Minister says that there are some built-in controls to ensure the integrity of the system. What are the controls that have been built in to ensure that there will be no fraud? Would the Minister make public the auditors' reports on the computer balloting system?

As regards inviting the public to witness the balloting, I am referring to the actual running of the computer itself. When you run the selection, would someone be present to witness it?

Mr Lim Hng Kiang: Sir, the system controls are the standard controls put in for all computer applications: separation of different programmes, code words, code entries, ie, the standard controls for system applications.

As for the auditors' reports, I am sure they are available. I would ask HDB to consider whether this can be made known to the public.

As to what the public can see when we run the system, again I would ask HDB what they can actually witness when HDB runs the computer. Do they visit the computer room and hear the whirring of the computer being operated? I will check it out and see whether it is worthwhile to invite the public to witness it.

Mr Low Thia Khiang: Sir, I think the HDB should make the procedure clearer, from the time the applications are submitted, how they are keyed into the computer, how the computer prioritises or rates the priority of, let us say, new applicants in mature estates, and how are they given the priority. I think at present the procedures are quite vague and abstract.

Mr Speaker: Mr Low, no speeches.

Mr Lim Hng Kiang: Sir, as I have explained, there are two categories of priorities. The first category is whether you are a first-time buyer or you are an upgrader. If you are a first-time buyer, as I have explained in this House many times, you are given a year's headstart. So you join the same group of people who have applied one year ago. So new applicants are given one year's headstart compared to upgraders.

Secondly, within that same group of people who apply in the same quarter, the computer will ballot through random number generators who gets the first number to be selected and so on down the line. As for the process of balloting, these are the people who form the queue positions in selecting the flats. It is quite a straightforward process.

Mr Low Thia Khiang: What about the procedure of keying in?

Mr Lim Hng Kiang: They just type it in.

Mr Low Thia Khiang (remained seated): Who keys into the computer?

Mr Speaker: Order. Mr Low, are you asking a question?

Mr Low Thia Khiang: Clarification, Sir. What I am asking is, first of all, what are the safeguards that you have from the time a person receives the application up to the time it is keyed into the computer? How does the computer actually prioritise, let us say, by giving one year's headstart to a new applicant compared to an upgrader? How does the computer categorise that and through what system?

Mr Lim Hng Kiang: Sir, if the Member is so interested in these details I will get HDB to give him a private tutorial and give him all the codes and teach him how to key in.