XN000022-1976-04-07 — Page 12

Wednesday, April 7, 1976

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"I see no point in creating autonomous corporations with the

Government retaining power subsequently to claw back control over, say,

whether the corporations might spend themselves the funds they generate,"

he said.

Secondly, he said, there was no evidence that those "revenue-

generating bodies were being run inefficiently.

Mr. Heddon-Cave stressed that it was wrong to suppose that the

Government maintained "a strong but detached control" over the Urban Council,

the Mass Transit Railway Corporation and the Housing Authority.

He pointed out that the degree of central government control over

such organisations "depends on the extent to which they rely on this Council

to vote them funds and in the case, for example, of the Mass Transit Railway

Corporation, the Housing Authority and the Trade Development Council, on the

provisions of the ordinances setting them up."

Turning to arrears of revenue, he pointed out that the actual revenue

written off each year as irrecoverable was small. "For example in 1975-76, it

is expected to be only about $3 million in respect of internal revenue"

But he assured Council that the Government was far from being

complacent on the subject.

"For example, in conjunction with the introduction of instalment

payments for salaries and profits tax, the Coumissioner of Inland Revenue

has felt able to take a much tougher line with those who do not pay their

tax liabilities by the due date," he said. "As a further example, the use

of computer for the issue of driving and vehicle licences will facilitate

the collection of outstanding fines from drivers in respect of driving and

parking offences,"

/Turning