THURSDAY, JANUARY 12, 1989
THIS RIGHT OF ACCESS WILL NOT EXTEND TO ANY PREMISES OTHER THAN THOSE NOTIFIED TO THE SFC, AND THERE WILL BE NO POWERS OF FORCIBLE ENTRY OR SEIZURE OF DOCUMENTS. IF ACCESS IS REFUSED, AND THE CIRCUMSTANCES APPEAR TO JUSTIFY IT. THE SFC WILL APPLY FOR A MAGISTRATE'S WARRANT IN THE ORDINARY MANNER.
THE
DURING AN INVESTIGATION BY THE SFC,
PERSON CONCERNED WILL BE OBLIGED ΤΟ GIVE INFORMATION, BUT THE INFORMATION SO GIVEN MAY NOT BE USED AGAINST HIM IN SUBSEQUENT CRIMINAL PROCEEDINGS. THIS IS IN LINE WITH EXISTING IN THE COMPANIES ORDINANCE AND SECURITIES ORDINANCE.
PROVISIONS
INTO
THESE PROPOSALS HAVE BEEN FORMULATED AFTER TAKING ACCOUNT CONCERNS EXPRESSED BY MARKET USERS AND OTHER INTERESTED PARTIES ABOUT ANY POSSIBLE EROSION OF CIVIL LIBERTIES AND THE NEED FOR PROTECTING THE INTERESTS OF INVESTORS.
POWER TO INTERVENE IN INTERMEDIARIES' BUSINESS
THE BILL EMPOWERS THE SFC TO INTERVENE IN THE BUSINES9 OF A REGISTERED PERSON UNDER EXCEPTIONAL CIRCUMSTANCES TO PROTECT THE INTERESTS OF THE INVESTING PUBLIC.
TO ENSURE ADEQUATE CO-ORDINATION BETWEEN THE SFC AND THE EXCHANGES, THE BILL REQUIRES THE SFC то GIVE PRIOR NOTIFICATION TO THE STOCK EXCHANGE OF HONG KONG OR THE HONG KONG FUTURES EXCHANGE BEFORE EXERCISING ANY INTERVENTION AGAINST ANY OF ITS MEMBERS.
POWER
REGULATION OF THE EXCHANGES
THE BILL ALLOWS THE SFC, WITH THE APPROVAL OF THE GOVERNOR IN COUNCIL, TO TRANSFER SOME OF ITS REGULATORY POWERS TO THE TWO EXCHANGES IN FUTURE.
THE BILL EMPOWERS THE SFC TO 1SSUE RESTRICTION NOTICES REQUIRING THE EXCHANGES AND CLEARING HOUSES TO AMEND THEIR CONSTITUTION OR то MAKE CHANGES IN THEIR MANAGEMENT AND OPERATIONS.
IT ALSO EMPOWERS THE SFC TO ISSUE SUSPENSION ORDERS RELATING TO THE FUNCTIONS OF THE GOVERNING BODIES, COMMITTEES OR CHIEF EXECUTIVES OF THE EXCHANGES AND CLEARING HOUSES.
THE SFC MAY NOT EXERCISE SUCH POWERS WITHOUT PRIOR CONSULTATION WITH THE FINANCIAL SECRETARY. THESE POWERS ARE LINE WITH THE SRC RECOMMENDATION.
IN
/FUNDING FOR