WEDNESDAY, JUNE 22, 1994
7
CS
I WOULD LIKE TO MAKE IT QUITE CLEAR THAT THAT IS COMPLETELY WITHOUT FOUNDATION. THERE IS NO TRUTH WHATSOEVER TO THIS STATEMENT. THE ARRANGEMENT FOR THE FUTURE ELECTION OF THE CHIEF EXECUTIVE OF SAR GOVERNMENT IS QUITE CLEARLY LAID DOWN IN THE JOINT DECLARATION. I HAVE A JOB AT PRESENT THAT I AM ENJOYING TREMENDOUSLY. THERE ARE LOT OF TASKS TO BE DEALT WITH AND I AM CONCENTRATING ON THE TASKS AT HAND.
QUESTION : ARE YOU WILLING TO TAKE UP THE POST?
TO
THE
CS : I HAVE ON PREVIOUS OCCASION SAID THAT I AM HAPPY TO CONTINUE SERVE HONG KONG IN WHATEVER CAPACITY MAY BE AVAILABLE TO ME. FOR TIME BEING, I AM DEALING WITH THE TASKS AT HAND AND I AM NOT WORRYING ABOUT THE FUTURE.
REDUCTION OF STATUTORY LEVIES
FUTURES
THE GOVERNOR-IN-COUNCIL HAS MADE THE SECURITIES AND COMMISSION (LEVY) (SECURITIES) (AMENDMENT) ORDER 1994 AND THE SECURITIES AND FUTURES COMMISSION (LEVY) {FUTURES CONTRACTS} (AMENDMENT) ORDER 1994 TO REDUCE THE RATES OF STATUTORY LEVY PAYABLE ON SECURITIES AND FUTURES TRANSACTIONS.
AT PRESENT, THE RATE OF LEVY ON SECURITIES TRADING IS 0.02 PER CENT PER TRANSACTION RECORDED ON THE STOCK EXCHANGE OF HONG KONG LTD (SERK).
THE RATE ON FUTURES TRANSACTION IS $2 PER SIDE PER CONTRACT EACH MARKET OF THE HONG KONG FUTURES EXCHANGE LTD (HKFE).
IN
THE
LEVY REVENUE FROM THE SECURITIES SIDE IS EQUALLY SHARED BY SECURITIES AND FUTURES COMMISSION (SFC) AND THE SEHK WHILE THAT FROM FUTURES CONTRACTS IS FULLY CHANNELLED TO THE SFC.
"DUE TO THE ROBUST MARKET ACTIVITY IN THE PAST YEAR, THE LEVY REVENUE HAS FAR EXCEEDED THE ORIGINAL ESTIMATES. THIS MADE IT POSSIBLE FOR THE RATE OF LEVIES TO BE LOWERED, THE SECRETARY FOR FINANCIAL SERVICES, MR MICHAEL CARTLAND, SAID.
THE SFC ORDINANCE STIPULATES THAT WHERE THE RESERVES · OF THE SFC EXCEED TWICE THE ESTIMATED OPERATING EXPENSES FOR THAT FINANCIAL YEAR, THE COMMISSION SHOULD CONSULT THE FINANCIAL SECRETARY WITH A VIEW TO RECOMMENDING TO THE GOVERNOR-IN-COUNCIL THAT THE RATE OF LEVY BE REDUCED.
THE SFC REPORTED TO THE FINANCIAL SECRETARY IN AUGUST 1993 THAT THE REPORTING LEVEL HAD BEEN REACHED.
"HAVING CONSIDERED THE MATTER WITH THE SFC AND THE TWO EXCHANGES, IT WAS CONCLUDED THAT THE RATE OF LEVY ON SECURITIES TRANSACTIONS SHOULD BE REDUCED TO 0.013 PER CENT, DIVIDED INTO 0.006 PER CENT FOR THE SFC AND 0.007 PER CENT FOR THE SEHK. THIS REPRESENTS A 35 PER CENT REDUCTION IN THE LEVY RATE.
/AT THE