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WEDNESDAY, MARCH 8, 1989
"HOWEVER, NO OFFENCE WILL BE COMMITTED IF A TRANSACTION WHICH IS BELIEVED OR SUSPECTED TO HAVE THIS PURPOSE IS REPORTED IMMEDIATELY TO THE AUTHORITIES,' HE SAID.
IN
MR ASPREY SAID THAT BANKS AND OTHER FINANCIAL INSTITUTIONS PARTICULAR WOULD BE AFFECTED BY THIS OBLIGATION TO REPORT KNOWLEDGE OR SUSPICION OF DRUG TRAFFICKING.
TO ASSIST THEM TO COMPLY WITH THIS NEW REQUIREMENT, MR ASPREY SAID THE HONG KONG ASSOCIATION OF BANKS AND THE HONG KONG DEPOSIT- TAKING COMPANIES ASSOCIATION HAD DRAW UP MODEL GUIDELINES FOR THEIR MEMBERS.
THESE WOULD
ENSURE THAT PROPER INTERNAL PROCEDURES WERB IN PLACE FOR INDIVIDUAL STAFF TO REPORT SUSPICIOUS TRANSACTIONS TO A DESIGNATED MEMBER OF THE MANAGEMENT, WHO WOULD IN TURN REPORT SUCH TRANSACTIONS TO THE AUTHORITIES WHERE HE SHARED THE HE SAID.
SUSPICIONS,
PROVIDED THE COUNTRIES
MR ASPREY SAID THE GOVERNOR IN COUNCIL WOULD BE POWER, UNDER CLAUSES 28 AND 29, TO DESIGNATE BY ORDER
OR TERRIXORIES WHOSE CONFISCATION ORDERS, AND ORDERS FOR RESTRAINT OF PROPERTY LIABLE TO CONFISCATION, WOULD BE ENFORCEABLE IN HONG KONG.
"WE INTEND THAT THIS BE DONE ON THE BASIS OF RECIPROCITY,
SAID.
"IT
HE
WILL ENABLE HONG KONG TO CO-OPERATE MORE EFFECTIVELY WITH OTHER GOVERNMENTS IN EFFORTS TO PREVENT CONVICTED DRUG TRAFFICKERS FROM RETAINING THEIR ILLEGAL PROFITS BY TRANSFERRING THEM OVERSEAS.
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MR ASPREY SAID THE PROPOSALS IN THE BILL WOULD REQUIRE ADDITIONAL STAFF AND OTHER RESOURCES FOR THE POLICE, CUSTOMS AND EXCISE DEPARTMENT, ATTORNEY GENERAL'S CHAMBERS AND THE JUDICIARY.
FIRST
"THE COST IS ESTIMATED TO BE ABOUT $21 MILLION
IN THE YEAR OF OPERATION OF THE LEGISLATION, RISING TO APPROXIMATELY $28 MILLION IN FIVE YEARS' TIME AND THEREAFTER, HE SAID.
"
"IN ADDITION, IT MAY BE NECESSARY TO APPOINT PUBLIC ACCOUNTANTS IN PRIVATE PRACTICE TO ASSIST IN INVESTIGATIONS AND THE ENFORCEMENT OF CONFISCATION ORDERS.
"THIS IS ESTIMATED TO COST AN ADDITIONAL $10 MILLION PER YEAR.
MR ASPREY SAID THE BILL WOULD ALSO GENERATE REVENUE.
WOULD
IT WAS NOT POSSIBLE TO FORECAST ACCURATELY HOW MUCH THIS BE, BUT EXPERIENCE OVERSEAS INDICATED THAT THE AMOUNT WAS LIKELY TO BE CONSIDERABLE.
IT ALSO INDICATED THAT THE AMOUNT OF REVENUE SUBSTANTIALLY EXCEED THE
RECURRENT
COSTS OF
GENERATED WOULD ENFORCING THE
LEGISLATION, HE ADDED.
DEBATE ON THE BILL WAS ADJOURNED.
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