THURSDAY, MAY 28, 1987
7
A LISTED COMPANY IS REQUIRED TO MAINTAIN A REGISTER AND INDEX OF INTERESTS WHICH IS AVAILABLE FOR PUBLIC INSPECTION. IN ADDITION, THE LISTED COMPANY IS REQUIRED TO PASS SUCH INFORMATION ON TO THE STOCK EXCHANGE OF HONG KONG AND THE COMMISSIONER FOR SECURITIES.
LISTED COMPANIES AND THE FINANCIAL SECRETARY, THROUGH THE APPOINTMENT OF INSPECTORS WITH POWERS OF INVESTIGATION, OR DIRECTLY, CAN INVESTIGATE SHARE OWNERS HIPS. MEMBERS OF A LISTED COMPANY WHO TOGET HER HOLD AT LEAST 10 PER CENT OF THE PAID-UP CAPITAL OF THE COMPANY MAY REQUIRE IT TO INVESTIGATE THE OWNERSHIP OF ITS SHARES. THE HIGH COURT AND THE FINANCIAL SECRETARY MAY IMPOSE +FREEZING ORDERS+ ON SHARES WHERE THERE ARE DIFFICULTIES IN FINDING OUT INFORMATION ABOUT THE BENEFICIAL OWNERSHIP OF SUCH SHARES.
+DISCLOSURE OF SHAREHOLDING AND SHARE DEALINGS HAD BEEN A CONTROVERSIAL SUBJECT HERE, AS ELSEWHERE IN THE WORLD. THE BILL WAS THE FRUIT OF YEARS OF DELIBERATIONS,+ HE SAID.
MR NENDICK EXPLAINED THAT THE SUBJECT WAS FIRST DISCUSSED BY THE COMPANIES LAW REVISION COMMITTEE IN 1973.
+AFTER SOME YEARS, THE SUBJECT WAS AGAIN EXAMINED BY THE SECURITIES COMMISSION AND THE STANDING COMMITTEE ON COMPANY LAW REFORM, HAVING REGARD TO EXISTING LEGISLATION ON THE SAME MATTER IN OTHER JURISDICTIONS AND THE PRACTICE IN OTHER MAJOR WORLD FINANCIAL CENTRES.
+ BOTH THE SECURITIES COMMISSION AND STANDING COMMITTEE ON COMPANY LAW REFORM STRONGLY RECOMMENDED THAT LEGISLATION BE INTRODUCED TO REQUIRE DISCLOSURE OF SHAREHOLDINGS AND SHARE DEALINGS, HE ADDED.
THE STANDING COMMITTEE ON COMPANY LAW REFORM PUBLISHED AN OUTLINE OF THEIR PROPOSED RECOMMENDATIONS FOR LEGISLATION ON SEPTEMBER 24, 1985 AND INVITED COMMENTS FROM INTERESTED MEMBERS OF THE PUBLIC AS WELL AS FROM PROFESSIONAL AND BUSINESS ORGANISATIONS.
AFTER CONSIDERATION OF THE COMMENTS RECEIVED FROM INDIVIDUALS AND ORGANISATIONS AS A RESULT OF THIS INVITATION, THE STANDING COMMITTEE SUBMITTED FULL PROPOSALS TO THE FINANCIAL SECRETARY IN LATE 1985, RECOMMENDING NEW LEGISLATION BE ENACTED ALONG THE LINES OF THE UK COMPANIES ACT,
THE EXECUTIVE COUNCIL ACCEPTED THE STANDING COMMITTEE'S RECOMMENDATION IN PRINCIPLE AND APPROVED THE PREPARATION OF A WHITE BILL EMBODYING THEIR PROPOSALS. THE STANDING COMMITTEE ON COMPANY LAW REFORM AND THE SECURITIES COMMISSION HAD BEEN CONSULTED ON THE BILL BEFORE IT WAS SUBMITTED TO THE EXECUTIVE COUNCIL.
/THE BILL .................