11
FRI ▲, JUNE 7, 1985
+WE HAVE A GOOD SYSTEM OF PRUDENTIAL SUPERVISION IN PLACE, BUT IT IS VERY DIFFICULT TO STOP PEOPLE BEHAVING IN A CRIMINAL WAY,+ HE SAID.
ASKED WHETHER HE HAD ANY ADVICE TO DEPOSITORS IN HIS SECOND LAST DAY AS CHIEF SECRETARY, SIR PHILIP SAID THE HONG KONG DOLLAR WAS A VERY SOUND CURRENCY.
+ IT IS A SOUND CURRENCY WITH WHICH TO PLACE ONE'S SAVINGS, + HE SAID.
UNOFFICIALS GIVE SUPPORT WITH RESERVATIONS ******
NINE UNOFFICIAL MEMBERS OF THE LEGISLATIVE COUNCIL YESTERDAY (FRIDAY) GAVE THE IR SUPPORT TO THE OVERSEAS TRUST BANK (ACQUISITION) BILL 1985 --BUT SEVERAL HAD RESERVATIONS.
DR THE HON HARRY FANG SAID THE BILL HAD COME TO MEMBERS AT VERY SHORT NOTICE, AND NATURALLY MOST WERE NOT HAPPY THAT THE GOVERNMENT HAD BEEN FORCED TO TAKE THIS ACTION.
+MY COLLEAGUES WILL BE EXPRESSING THE IR RESERVATIONS AND SEEKING CERTAIN ASSURANCES BEFORE WE CAN SUPPORT THE BILL, + HE SAID.
THE HON S.L. CHEN SAID IF WE WERE TO DEFEND THE PRINCIPLE OF FREE ENTERPRISE WHICH HAD LONG BEEN THE MAJOR DRIVING FORCE THAT MADE HONG KONG TICK, THEN MEMBERS MUST NECESSARILY HAVE SOME RESERVATIONS IN THE PROPOSED GOVERNMENT RESCUE ACTION.
+IN OTHER WORDS, JUST AS THE GOVERNMENT WOULD NOT INTERVENE, LET ALONE RESCUE, ANY COMPANY WHICH GETS INTO TROUBLE, IT IS ARGUABLE THAT THERE IS NO REASON FOR THE GOVERNMENT TO USE PUBLIC FUNDS TO RESCUE ONE PARTICULAR BANK, HE SAID.
INDEED, HAD THE BANK BECOME INSOLVENT AS A RESULT OF MISMANAGEMENT, HE WOULD HAVE HAD NO HESITATION IN URGING THE GOVERNMENT TO LET THE BANK, LIKE ANY OTHER COMMERCIAL ORGANISATIONS IN HONG KONG, FACE THE NATURAL COMMERCIAL CONSEQUENCES OF BANKRUPTCY OR LIQUIDATION,
HOWEVER, THE PROBLEM OF OVERSEAS TRUST BANK WAS DUE TO CRIMINAL ACTS ON THE PART OF THE SENIOR EXECUTIVES OF THE BANK AND MR CHEN SUPPORTED THE BILL IN THE INTEREST OF DEPOSITORS AND CREDITORS AND IN ENSURING MINIMAL DISRUPTION TO HONG KONG'S BANK ING BUSINESS.
THE HON LYDIA DUNN COMMENDED GOVERNMENT'S SWIFT ACTION TO SAFEGUARD THE INTERESTS OF DEPOSITORS AND HONG KONG'S REPUTATION AS A FINANCIAL CENTRE OF INTERNATIONAL STANDING.
/SHE SAID
חיי