WEDNESDAY, JULY 5, 1989
NUMBER
34
TILE
HAS CREATED DELAYS IN
"IN RECENT YEARS, THERE HAS BEEN A SUBSTANTIAL INCREASE IN
OF ADVERTISEMENTS REQUIRING AUTHORISATION. THIS CONSIDERABLE WORK FOR THE COMMISSION AND HAS LED TO SOME AUTHORISATION," HE SAID.
FOR SIMPLIFYING THE PROTECTION OF ORDINARY
MR NENDICK NOTED THAT THERE WAS SCOPE PRESENT PROCEDURES WITHOUT COMPROMISING THE INVESTORS.
EXCEPTIONS
"TO THIS END IT IS PROPOSED THAT IN ADDITION TO THE SPECIFIED IN SECTION 4(2) OF THE ORDINANCE, ADVERTISEMENTS RELATING TO AUTHORISATION, CD AND CP ISSUES SHOULD BE EXEMPTED AUTOMATICALLY FROM PROVIDED THAT CERTAIN MINIMUM DENOMINATION AND ARE MET.
CAPITALISATION TESTS
REPORTED "IT WOULD BE A REQUIREMENT THAT ALL EXEMPT ISSUES ARE TO THE COMMISSION ON A POST FACTO BASIS. ADVERTISEMENTS IN RESPECT OF ISSUES THAT DO NOT QUALIFY FOR SUCH EXEMPTION WILL CONTINUE TO REQUIRE
+ MR WAY, AUTHORISATION FROM
COMMISSION IN THE NORMAL THE EXPLAINED.
"CLAUSE 3(1) OF THE BILL EXEMPTS ADVERTISEMENTS IN THREE MAIN CLASSES OF CAPITAL MARKET INSTRUMENT:
FIRST,
NENDICK
RESPECT OF
COMPANIES
CD ISSUES BY BANKS AND DEPOSIT-TAKING LICENSED OR REGISTERED UNDER THE BANKING ORDINANCE WILL BE EXEMPTED AS THEY ARE ALREADY SUBJECT TO PRUDENTIAL SUPERVISION BY THE COMMISSIONER OF BANKING.
SUCH
IN
A
CS'S
FORM AND READILY ARE GENERALLY
STANDARD
THE PRESENT RECOGNISED BY INVESTORS. THIS EXEMPTION WILL NOT AFFECT
LICENSED OR RESTRICTIONS ON THE TAKING OF DEPOSITS BY DEPOSIT-TAKING COMPANIES UNDER THE RELEVANT PROVISIONS OF THE ORDINANCE.
*
REGISTERED BANKING
HONG
TO A
SECONDLY, CD ISSUES BY OVERSEAS BANKS NOT LICENSED IN
THE WORLD KONG AND BY SPECIFIED MULTILATERAL AGENCIES (FOR EXAMPLE, BANK AND THE ASIAN DEVELOPMENT BANK) WILL BE EXEMPTED SUBJECT MINIMUM DENOMINATION OF HK$1 MILLION OR EQUIVALENT AND, IN THE CASE OF OPINION OVERSEAS BANKS, TO THEIR BEING ADEQUATELY SUPERVISED, IN THE
INCORPORATION OF OF THE COMMISSIONER OF BANKING, IN THEIR PLACE OF PRINCIPAL PLACE OF BUSINESS,
BODIES (INCLUDING MAJOR CP ISSUES BY SPECIFIED THIRDLY,
PUBLIC SESTOR BODIES, PUBLIC LISTED
GOVERNMENT AND COMPANIES,
MULTILATERAL AUTHORISED INSTITUTIONS UNDER THE BANKING ORDINANCE AND
IS A MINIMUM AGENCIES} WILL ALSO BE EXEMPTED PROVIDED THAT THERE DENOMINATION OF HK$1 MILLION OR EQUIVALENT AND THAT, IN THE CASE OF A
WITH
OR THE SHARE A
ISSUER
PARENT CAPITAL, CORPORATION GUARANTEEING THE ISSUE HAS A MINIMUM PAID-UP SHARE CAPITAL MILLION OR EQUIVALENT,
COMPANY OF HK$75
OF DENOMINATION MR
SAID NENDICK
THE PROPOSED MINIMUM MILLION OR EQUIVALENT WAS INTENDED TO KEEP THESE LAST TWO CLASSES INSTRUMENT OUT OF THE HANDS OF ORDINARY INVESTORS.
HK$1
OF
"THESE INSTRUMENTS