WEDNESDAY, OCTOBER 26, 1994
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THE BILL SERVES THE SAME PURPOSE AS THE SECURITIES AND FUTURES COMMISSION (AMENDMENT) (NO.2) BILL 1994, THE SECOND READING OF WHICH I HAVE JUST MOVED. IT SEEKS TO ENABLE THE SFC TO PROVIDE RECIPROCAL INVESTIGATORY ASSISTANCE TO OVERSEAS REGULATORS AND COMPANY INSPECTORS IN RESPECT OF TRANSACTIONS INVOLVING LEVERAGED FOREIGN EXCHANGE CONTRACTS.
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THE LEVERAGED FOREIGN EXCHANGE TRADING ORDINANCE WAS ENACTED ON JUNE 1994 AND BROUGHT INTO EFFECT ON 1 SEPTEMBER 1994. UNDER THE ORDINANCE, COMPANIES OFFERING LEVERAGED FOREIGN EXCHANGE CONTRACTS TO INVESTORS, AND REPRESENTATIVES OF SUCH COMPANIES, HAVE TO BE LICENSED BY THE SFC. THE ORDINANCE CONTAINS PROVISIONS SIMILAR TO THOSE IN THE SECURITIES AND FUTURES COMMISSION ORDINANCE TO ALLOW THE SFC ΤΟ DISCLOSE TO OVERSEAS REGULATORS NON-PUBLIC INFORMATION IN ITS POSSESSION SUBJECT TO PUBLIC INTEREST CONSIDERATIONS. AGAIN, THE SFC AT PRESENT MAY NOT ENTERTAIN REQUESTS FROM OVERSEAS AUTHORITIES FOR INVESTIGATORY ASSISTANCE UNLESS THE CASE ALSO INVOLVES A BREACH OF RELEVANT HONG KONG LAWS.
FOR THE REASONS I HAVE EXPLAINED WHEN MOVING THE SECOND READING OF THE SECURITIES AND FUTURES COMMISSION (AMENDMENT) (NO.2) BILL 1994, THE LEVERAGED FOREIGN EXCHANGE TRADING ORDINANCE SHOULD ALSO BE AMENDED ΤΟ ENABLE THE SFC TO PROVIDE INVESTIGATORY ASSISTANCE то OVERSEAS AUTHORITIES ON A RECIPROCAL BASIS. THE CHANGES CONTEMPLATED UNDER THIS BILL ARE IDENTICAL IN NATURE TO THOSE UNDER THE EARLIER BILL. THEY AIM ΤΟ KEEP HONG KONG IN LINE WITH OTHER MAJOR INTERNATIONAL MARKETS AND TO MAINTAIN THE INTEGRITY OF OUR REGULATORY FRAMEWORK.
MR PRESIDENT, I BEG TO NOVE.
PRIVATE BILL FEES REVISED
MR
FOLLOWING IS THE SPEECH BY THE SECRETARY FOR THE TREASURY, DONALD TSANG, WHEN MOVING A RESOLUTION UNDER THE PRIVATE BILLS ORDINANCE IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY):
MR PRESIDENT,
I MOVE THE RESOLUTION STANDING IN MY NAME IN THE ORDER PAPER.
LET ME FIRST MAKE IT CLEAR THAT A PRIVATE BILL IS NOT A PRIVATE MEMBER BILL. A PRIVATE BILL DOES NOT DEAL WITH A GOVERNMENT MEASURE AND A PRIVATE MEMBER'S BILL NORMALLY DOES, A PRIVATE BILL PROVIDES PRIMARILY FOR THE PARTICULAR INTEREST OR BENEFIT OF AN INDIVIDUAL, ASSOCIATION OR BODY CORPORATE, UNDER SECTION 3 OF THE PRIVATE BILLS ORDINANCE, A PROMOTER OF A PRIVATE BILL IS REQUIRED TO PAY A FEE AS SPECIFIED IN A SCHEDULE TO THE ORDINANCE FOR PRESENTING ANY SUCH BILL TO THE LEGISLATIVE COUNCIL. THE CHIEF SECRETARY MAY, HOWEVER, WAIVE ANY SUCH FEE UPON APPLICATION BY THE PROMOTER IF SHE IS SATISFIED THAT THE BILL IS FOR A CHARITABLE PURPOSE OR FACILITATES A GOVERNMENT MEASURE.
WE LAST REVIEWED THE FEES IN 1991. TO REFLECT THE INCREASES IN COSTS SINCE THEN, WE PROPOSE TO REVISE THE FEE FOR PRESENTING A PRIVATE BILL AMENDING AN EXISTING ORDINANCE FROM $25,000 TO $33,500 AND THE FEE FOR PRESENTING A PRIVATE BILL FOR A PRINCIPAL ORDINANCE FROM $50,000 TO $67,000.
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