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THURSDAY, NOVEMBER 5, 1987
MRS CHOW SAID ALTHOUGH THE GOVERNMENT HAD NOT DECIDED, EVERY INDICATION WAS THAT CONSUMER PROTECTION BY WAY OF COMPENSATION ON FAILURE OR COLLAPSE OF AGENTS WOULD REMAIN.
SHE SAID IT HAD BEEN WIDELY REPORTED IN THE PRESS LAST MONTH THAT THE INTENTION WAS TO IMPOSE A LEVY ON TOUR RECEIPTS.
"EXISTING PROVISIONS FOR THE RESERVE FUND ARE HEAVILY CRITICISED FOR ITS ELEMENT OF MUTUALITY, WHICH Is SKEN AS AN INCENTIVE FOR THE BLACK SHEEP IN THE TRADE ΤΟ ABSCOND, LEAVING THE COMPENSATION BILL FOR THE HONEST AGENTS.
"IT THIS ELEMENT REMAINS IN THE FUTURE SYSTEM, THE SAME DANGER WILL APPLY. THE ONLY REASON THE TRADE DOES NOT OBJECT IS THAT WHEREAS THEY HAVE TO FOOT THE BILL NOW, THE BURDEN WILL IN FUTURE LAY SQUARELY ON THE CONSUMER, ALBEIT INDIRECTLY.
SHE SAID THE ELEMENT OF MUTUALITY SHOULD BE REDUCED AS FAR AS POSSIBLE AND ANY FUND SHOULD BE USED ONLY AS A LAST RESORT AFTER THE DEFAULTING AGENT'S OWN GUARANTEE HAD BEEN EXHAUSTED.
"EACH AGENT SHOULD FURNISH THE BONDING SCHEME WITH A CERTAIN AMOUNT OF SURETY' IN THE FORM OF BANKER'S GUARANTEE OR INSURANCE COMMENSURATE WITH THE BUSINESS TURNOVER OF THE AGENT."
MRS CHOW SAID THIS WAS A SYSTEM ADOPTED BY AUSTRALIA AND SINGAPORE AND HAD PROVEN TO BE EFFECTIVE.
"ITS MERITS ARE MANY: IT DISCOURAGES FLY-BY-NIGHT TOUR OPERATORS FROM TAKING ADVANTAGE OF OUR FREE MARKET; REMOVES THE ELEMENT OF MUTUALITY, AND IT REDUCES THE AMOUNT OF LEVIES TO BE IMPOSED ON TOURS.
"AS THE HIGH SEASON FOR TOURS IS ONCE AGAIN DRAWING NEAR, [ URGE THE GOVERNMENT TO ACT SOON, AND EVEN IF WE CANNOT HAVE THE PERMANENT SOLUTION IN PLACE, THERE MUST BE SOME INTERIM MEASURE TO PREVENT REPETITION OF UGLY SCENES IN HISTORY, SHE SAID.
SHE ALSO SAID THAT WHILE 16 MILL FON PEOPLE TRAVELLED OUTSIDE HONG KONG LAST YEAR, 3.7 MILLION VISITORS CAME TO HONG KONG, SPENDING OVER $17.8 BILLION.
THIS TOURING POPULATION WAS EXPECTED TO RISE BY A FURTHER 17.5 PER CENT THIS YEAR, MAKING A TOTAL OF 4.38 MILLION, AND LIKELY TO PROVIDE HONG KONG WITH A REVENUE OF OVER $20 BELLION, AND THE FORECAST FOR NEXT YEAR WAS 4.85 MILLION, WITH A CONSERVATIVE ESTIMATED GROWTH OF 10.5 PER CENT.
MRS CHOW SAID THE UNCHALLENGED ATTRACTION OF HONG KONG FOR MOST VISITORS WAS ITS IMAGE AS THE EPITOME OF THE UNIQUE MIX OF EAST AND WEST, AS MANIFESTED THROUGH ITS PFOPLE, IT'S LANGUAGES, LIFESTYLE AND ITS HERITAGE.
ITS
HOWEVER, SHE