XN000022-1972-06-07 — Page 1

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P.A.K. 7 (REVISED) 4000001

DAILY

GOVERNMENT INFORMATION

SERVICES BULLETIN

INFORMATION

(Part I)

EMBARGOED NOTE TO EDITORS:

The following news item MUST NOT be published or broadcast until after 2.35 p.□., when the Financial Secretary makes the statement in Legislative Council.

Wednesday, June 7, 1972

DECISION TAKEN IN PRINCIPLE ON MASS TRANSIT RAILWAY

Financial Secretary Says Scheme To Proceed Subject To

Satisfactory Financing & Tender Arrangements

EN

A decision has been taken, in principle, to proceed with the

construction of the full Mass Transit Railway subject to satisfactory arrangements

being made for financing it and for letting contracts.

This was stated by the Financial Secretary, the Hon. C.P. Haddon-Cave

in the Legislative Council this (Wednesday) afternoon in reply to a question

by the Senior Unofficial Member, the Hon. Sir Yuet-keung Kan.

Mr. Haddon-Cave told Council that the financing problem

costing

over $6,000 million at mid-1970 prices - was closely linked with two other

problems, namely, the form of tendering and the letting of contracts and the

most appropriate operational arrangements.

He said: "These issues will have to be looked at separately but,

eventually, they need to be brought together in a coherent scheme for the

financing, construction and operation of the system."

To

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