WEDNESDAY, JANUARY 17. 1990
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TECHNICAL AMENDMENTS TO BANKING BILL
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SOME TECHNICAL AMENDMENTS WERE MADE TO THE BANKING (AMENDMENT) (NO. 2) BILL 1989 BEFORE IT WAS PASSED BY THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).
THE COMMITTEE STAGE AMENDMENTS WERE MOVED SECRETARY, THE HON SIR PIERS JACOBS, WHO SAID THE EXAMINED AND SUPPORTED BY THE LEGCO AD HOC GROUP BILL.
BY THE FINANCIAL CHANGES HAD BEEN THAT STUDIED THE
52,
OF
IN MOVING AMENDMENTS TO CLAUSES 1, 29, 39, 44, 46, 49 AND SIR PIERS SAID BOTH THE AD HOC GROUP AND THE HONG KONG ASSOCIATION BANKS CONSIDERED THAT THE PRESENT LEVEL OF THE PENALTY FOR BREACHES OF OFFICIAL SECRECY UNDER THE ORDINANCE WAS TOO LOW TO CONSTITUTE AN EFFECTIVE DETERRENT.
TO
HE AGREED WITH THEM AND PROPOSED THAT AN AMENDMENT BE MADE CLAUSE 46 TO INCREASE THE PENALTY FROM THE PRESENT LEVEL OF $100,000 TO $500,000 ON CONVICTION UPON INDICTMENT,
THIS WOULD BRING THE PENALTY MORE IN LINE WITH THOSE FOR SIMILAR OFFENCES UNDER OTHER ORDINANCES.
SIR PIERS SAID CLAUSE 52 WAS INTENDED ΤΟ AMEND THI THIRD SCHEDULE TO THE ORDINANCE CONCERNING CAPITAL ADEQUACY RATIO.
THAT SCHEDULE HAD NOW BEEN REPLACED BY VIRTUE OF ΤΗΣ BANKING ORDINANCE (REPLACEMENT OF THIRD SCHEDULE } NOTICE 1989 GAZETTED ON DECEMBER 22. 1989 TO GIVE EFFECT TO THE NEW CAPITAL ADEQUACY REQUIREMENTS FOR AUTHORISED INSTITUTIONS. CLAUSE 52 WAS THEREFORE NO LONGER REQUIRED.
HOWEVER. IF CLAUSE 52 WAS DELETED IN ITS ENTIRETY, THE PRESENT THIRD SCHEDULE CONTAINED IN THE SAID NOTICE WOULD BE DEFECTIVE BECAUSE THE DEFINITION OF BANK" CONTAINED THEREIN CONTAINED NO SPECIFIC REFERENCE TO RESTRICTED LICENCE BANK.
TO RECTIFY THAT DEFECT, IT WAS PROPOSED THAT THE RELEVANT PART OF CLAUSE 52 BE RETAINED.
THE PROPOSED AMENDMENTS TO OTHER CLAUSES SOUGHT TO CLARIFY CERTAIN DRAFTING POINTS AND TO TAKE ACCOUNT OF THE SLIPPAGE IN THE LEGISLATIVE TIME-TABLE, SIR PIERS SAID.
ON A NEW CLAUSE 47A, SIR PIERS SAID THE PROPOSED SECTION 72A(4) IN CLAUSE 29 MADE IT AN OFFENCE FOR ANY SPECIFIED PERSON IN THE CIRCUMSTANCES STATED TO SIGN ANY DOCUMENT FOR GIVING INFORMATION UNDER THE PROPOSED SECTION 72A(2) WHICH HE KNEW, OR OUGHT TO KNOW, TO BE FALSE IN A MATERIAL PARTICULAR.
/THE PROPOSED