Financial and Monetary Affairs 89
funds' access to the local market. In June 2007, the SFC announced a set of initiatives to streamline the licensing procedures for overseas fund managers.
Improvement of the Mandatory Provident Fund Schemes Ordinance
Since the enactment of the Mandatory Provident Fund Schemes Ordinance in August 1995, the MPFA has been reviewing and making proposals to improve the MPF legislation in the light of operational experience. Amendments to the legislation since the implementation of the MPF System have sought to simplify MPF scheme administration, enhance protection for scheme members and improve the regulation of MPF schemes and investments.
On June 27, 2007, the Mandatory Provident Fund Schemes (Amendment) Bill 2007 was introduced into the Legislative Council. The Bill covers around 30 proposals to amend the MPF legislation in respect of scheme administration and enforcement and is expected to be enacted in January 2008. Further legislative amendments which aim to enhance protection of scheme members' interests under the MPF System by strengthening the supervision and enforcement of the MPF regime will be introduced into the legislature in 2008.
Rewrite of the Companies Ordinance and other legislative amendment exercise
The Standing Committee on Company Law Reform (SCCLR), established in 1984, meets regularly to consider amendments to the Companies Ordinance (CO) to ensure that the CO meets the evolving needs of the business community. The Companies Registry provides secretariat support for the SCCLR.
The Overall Review of the CO and the Corporate Governance Review by the SCCLR in recent years resulted in a number of recommendations for reform. Some of the recommendations such as improving the registration regime for non-Hong Kong companies have been implemented through amendments to the CO. The remaining recommendations such as reform of the capital maintenance provisions and modernisation of the statutory language are taken forward through a comprehensive rewrite of the CO. The rewrite exercise will also provide Hong Kong with an up-to- date legal infrastructure attuned to its needs as a major international business and financial centre. It also leverages on recent company law developments in other common law jurisdictions such as the United Kingdom, Australia, and Singapore.
Spearheaded by the Financial Services and the Treasury Bureau, the rewrite exercise has been progressing at full steam since mid-2006. Four advisory groups, comprising relevant professionals, business and market practitioners, and academics, were established in late 2006 to advise on various specific areas of the CO. Their work is expected to be completed by mid-2008. A public consultation on the accounting and auditing provisions in the CO was conducted in the second quarter of 2007.
Other complex subjects, such as company names, directors' duties, corporate directorship, registration of charges, share capital, capital maintenance rules, and statutory amalgamation procedures, will be put forward for public consultation in