(商(廠
C. M. A.
./4
3. (a)
(b)
4.
According to the reply from the Secretary for Administration, Section 19 of the Ordinance is an essential provision to prevent dishonest persons claiming that the payment or receipt of a corrupt transaction is customary.
It should be obvious, however, that some custo- mary practices ought to be legally acceptable.
If, as the present law provides, all customary practices are regarded as illegal, then honest and dishonest businessmen, and honest and dishonest practices, are treated alike and as criminal. That, the Associations submit, is. not fair or in accordance with the Rule of Law.
According to our information, the Ordinance in 1948 did not contain Section 9(2) and it was inserted only when the Ordinance was amended in
1971.
The Associations feel that this sub-section completely ignores practicable circumstances, and the viability of Hong Kong, and that it is not workable in reality.
In the Joint Associations' letter dated 1976-07-29 to the Chief Secretary, the Associat- ions pointed out that Section 19 does not recognise as a defence that any advantage was customary in any profession, trade, vocation or calling. What is worse, it fails to distinguish between the commission which is in no way detrimental to the agent's principal and that which is the latter we should say, are regarded by the Asso- ciations as indefensible, but should be left to be dealt with by the employer through the Hong Kong or his national police force.
Those sections have greatly harassed the business community and have already had a damaging effect on business.
It should be appreciated that the giving and taking of non-profit making commissions is a