HONG KONG LEGISLATIVE COUNCIL
19 July 1989
香港立法局
一九八九年七月十九日
38
sparingly, and where the commissioner is satisfied that no credit risk on a group basis would exceed the 25% limit.
Appeals
Following a breach of either the specified capital adequacy ratio or the specified liquidity ratio, the commissioner may, after discussing the matter with the institution, require it to take such remedial actions as he considers necessary. Failure to comply with the commissioner's direction is a criminal offence. At present, the institution can appeal only to the Financial Secretary against the commissioner's direction. Elsewhere in the Ordinance, appeals against the commissioner's use of his powers, where non-compliance is a criminal offence, lie to the Governor in Council. For the sake of consistency, clauses 41 and 43 amend sections 100 and 104 respectively to replace the Financial Secretary with the Governor in Council as the appeal body.
Official secrecy
The requirement to preserve and aid in preserving secrecy as provided under section 120(1)(a) applies only to those specified persons presently exercising functions under the Ordinance. It is considered important to ensure that all those who have exercised such functions in the past but do not presently do so are similarly restricted. This category includes retired public officers, professionals and others whose contracts have expired. Clause 46(b) therefore extends the secrecy obligation to all those who have at any time obtained relevant information in the course of exercising any function under the Ordinance.
Other amendments
Sir, the Bill also proposes a miscellany of technical amendments to clarify meanings and ensure consistency between various sections of the Ordinance.
The principal proposals in the Bill have been discussed with and are supported by the Banking Advisory Committee and the Deposit-taking Companies Advisory Committee.
Sir, I move that the debate on this motion be adjourned.
Question on the adjournment proposed, put and agreed to.
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