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WRONESDAY, MAY 28, 1986
+SINCE BANKING IS MORE OF AN ART THAN A SCIENCE, THE BANKING COMMISSIONER'S TASK IS NOT AN EASY ONE HE NEEDS A DEGREE OF DISCRETION AND ROOM FOR THE EXERCISE OF WHAT MUST ULTIMATELY BE SUBJECTIVE JUDGMENT,
+HE MUST ALSO ALWAYS BALANCE THE NEED FOR CONFIDENTIALITY AND FOR THE PRESERVATION OF TRUST IN THE SYSTEM WITH THE NECESSITY OF ACCESS TO FULL INFORMATION, HE SAID.
HE ADDED THAT THE LEGCO AD HOC GROUP WAS PLEASED THAT THE ADMINISTRATION HAD ACCEPTED AMENDMENTS TO THE BILL TO ALLAY FEARS THAT THE COMMISSIONER'S POWERS WERE TOO SWEEPING.
ON THE SUBJECT OF APPEALS, DR SOHMEN HOPED THAT IN ALL THOSE INSTANCES WHERE AN APPEAL WAS ALLOWED THE COMMISSIONER WOULD GIVE FULL REASONS FOR HIS DECISIONS SO THAT THE APPEALS PROCEDURE COULD BE EFFECTIVE.
HE SAID HE WAS ENCOURAGED THAT THE ADMINISTRATION WOULD FURTHER EXPLORE THE POSSIBILITY FOR APPEALS TO BE HEARD BY A JUDICIAL TRIBUNAL RATHER THAN BY THE GOVERNOR IN COUNCIL AS NOW FORESEEN, AFTER AN OVERALL REVIEW OF THE ADMINISTRATIVE APPEALS PROCEDURE.
DR SOHMEN THEN SAID FOR THE PROPER IMPLEMENTATION OF THE BILL IT WAS OBVIOUSLY OF CRITICAL IMPORTANCE THAT THE STAFFING AND THE RESOURCES OF THE COMMISSIONER'S OFFICE BE GIVEN FULL ATTENTION AND SUPPORT.
IN THIS CONTEXT, HE SUGGESTED THAT CONSIDERATION COULD BE GIVEN TO THE SECONDMENT TO THE BANKING COMMISSIONER'S OFFICE OF EXPERIENCED AND ACTIVE COMMERCIAL BANKERS, ESPECIALLY IN THE TWO YEARS PRIOR TO THE PROVISIONS OF PART XVII OF THE BILL BECOMING EFFECTIVE.
+IN FACT, A PROGRAMME OF CONTINUOUS INTERCHANGE OF PERSONNEL BETWEEN THE TWO SIDES, WHILE POSSIBLY RADICAL IN CONCEPT, WOULD MAKE GOOD PRACTICAL SENSE AND IN HONG KONG WE ACTUALLY ALREADY HAVE SOME PRECEDENTS, HE OBSERVED.
+THIS PROPOSAL, IF IMPLEMENTED, WOULD ALSO TAKE THE STEAM OUT OF THE ARGUMENT THAT THE BANKING BILL HAS IN PARTS SUBMERGED COMMONSENSE BY THEORY, AND COULD HELP IN THE EFFORT OF PREVENTING THOSE WHO ALWAYS READILY SEE AND ARE KEEN TO EXPLOIT ANY LEGISLATIVE LOOPHOLES, FROM TOO EASILY ACHIEVING THEIR AIMS,+ HE SAID.
AS FOR THE POSSIBLE EFFECTS THE BILL MIGHT HAVE ON THE SMALLER BANKS AND DEPOSIT-TAKING COMPANIES, DR SOHMEN NOTED THAT THERE HAD BEEN ARGUMENT FOR THE CREATION OF A NEW CATEGORY OF +LIMITED SERVICE BANKS+ SUBJECT TO MORE LIBERAL RULES.
HOWEVER, HE