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WEDNESDAY, APRIL 10, 1974
BILL ON COMPANY ACCOUNTS AND DIRECTORS' REPORTS
BEING CONSIDERED
THE FINANCIAL SECRETARY, THE HON. PHILIP TODAY OUTLINED THE PROGRESS BEING MADE IN THE
ADDON-CAVE,
PLEMENATION
OF RECOMMENDATIONS CONTAINED IN THE SECOND REPOT OF THE CUMPANIES LAW REVISION COMMITTEE.
HE WAS SPEAKING IN THE LEGISLATIVE COUNCIL IN REPLY TO A QUESTION BY THE HON. LEE QUO-WEI WHO ASKED WHEN THE PROPOSED REVISED COMPANIES LEGISLATION WOULD BE PUBLISHED.
MR. HADDON-CAVE SAID CONSIDERATION HAD BEEN GIVEN TU IMPLEMENTING FIRST THE COMMITTEE'S RECOMMENDATIONS RELATING TO COMPANY ACCOUNTS AND DIRECTORS' REPORTS TO BRING THE RELEVANT PROVISIONS IN THE COMPANIES ORDINANCE BROADLY INTO LINE WITH THOSE NOW IN FORCE IN THE UNITED KINGDOM, AND TO REQUIRE DIRECTORS' REPORTS TO GIVE NUCH FULLER INFORMATION ABOUT THEIR COMPANIES' AFFAIRS.
+A DRAFT BILL DESIGNED TO GIVE EFFECT TO THIS HAS NOW BEEN PREPARED AND COMMENTS AND VIEUS ON IT ARE BEING SOUGHT FROM HONG KONG SUCIETY OF ACCOUNTANTS AND THE HONG KONG GENERAL AND CHINESE CHAMBERS OF COMMERCE.
+THE CHINESE CHAMBER OF COMMERCE HAS ALREADY INDICATED THAT IT HAS NO COMMENTS AND IT IS HOPED THAT THE VICUS OF THE OTHER BODIES WILL BE RECEIVED SHORTLY.
+1 HAD ORIGINALLY HOPED THAT THE BILL COULD BE READY IN TIME TO BE APPLICABLE TO ACCOUNTS IN RESPECT OF THE YEAR ENDING DECEMBER 31, 1974 BUT IT MAY NOT NOW BE POSSIBLE TO ACHIEVE THIS TARGET.
+THE REASON FOR THIS IS THAT THE COMMITTEE RECOMMENDED THAT SIX MONTHS NOTICE BE GIVEN BEFURE THE NEU PROVISION COMES INTO OPERATION AND IT IS NOU ALREADY MID-APRIL, + HE SAID.
HE CONTINUED THAT NO OTHER DRAFTING WAS PROCEEDING AT THE PRESENT TIME TO GIVE EFFECT TO FURTHER RECÙIMENDATIONS IN THE REPORT.
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BUT HE SAID THE RECOMMENDATIONS HADE BY THE COMMITTEE WERE ACCEPTABLE TO THE GOVERNMENT IN PRINCIPLE AND DRAFTING OF LEGISLATION TO GIVE EFFECT TO THEM WOULD BE PUT IN HAND AS SOON AS PUSSIBLE.
THE FINANCIAL SECRETARY POINTED OUT THAT THE RECOMMENDATIONS OF THE SECOND REPORT RELATING TO THE QUESTION OF 'INSIDER TRADING' HAD ALREADY LEEN INCURPORATED IN THE SECURITIES ORDINANCE.
BUT THE PROVISIONS CONCERNED WOULD NOT BE BROUGHT INTO OPERATIJN UNTIL SUCH TIME AS AN ASSESSMENT OF THE PROPOSED UNITED KINGDOM LEGISLATION ON 'INSIDER TRADING' HAD BEEN HADE AND, IN ANY EVENT, WITHOUT A FURTHER OPPORTUNITY FOR THIS COUNCIL TO DEBATE THE MATTER.
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