XN000022-1977-04-20 — Page 12

WEDNESDAY, APRIL 20, 1977

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PROPOSAL TO SET UP SELECT COMMITTEE TO COMPLEMENT LEGCO ROLE IN

APPROVING MEASURES FOR RAISING REVENUE

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THE GOVERNMENT PLANS TO SET UP A SMALL SELECT COMMITTEE OF THE LEGISLATIVE COUNCIL TO COMPLEMENT THE COUNCIL'S ROLE IN APPROV | NG MEASURES FOR RAISING REVENUE AND IN VOTING FUNDS FOR EXPENDITURE.

DISCLOSING THIS AT THE RESUMED BUDGET DEBATE IN THE LEGISLATIVE COUNCIL, THE FINANCIAL SECRETARY, THE HON. PHILIP HADDON-CAVE SAID A PROPOSAL TO THIS EFFECT WOULD BE PUT FORWARD TO THE EXECUTIVE AND LEGISLATIVE COUNCILS FOR CONSIDERATION.

THE COMMITTEE, HE SAID, WOULD BE SERVICED BY A DEPUTY CLERK OF COUNCILS, WITH THE DIRECTOR OF AUDIT, THE DIRECTOR OF ACCOUNTING SERVICES AND THE DEPUTY FINANCIAL SECRETARY IN ATTENDANCE.

THE FINANCIAL SECRETARY SAID THAT AS AMENDMENTS TO THE AUDIT ORDINANCE WOULD BE NECESSARY HE DID NOT THINK THE NEW PROCEDURE PROPOSED COULD TAKE EFFECT BEFORE THE DIRECTOR'S REPORT ON THE ACCOUNTS FOR THE CURRENT FINANCIAL YEAR WAS SUBMITTED.

THE DUTIES OF THE COMMITTEE WOULD BE TO :-

* SELECT FROM THE DIRECTOR OF AUDIT'S ANNUAL REPORT THOSE

MATTERS WHICH IT WISHED TO EXAMINE-

*

CALL UPON THE ACCOUNTING OFFICERS CONCERNED TO APPEAR BEFORE

IT TO ACCOUNT FOR THE RELEVANT TRANSACTIONS-

* SUBMIT TO THE GOVERNOR, AS PRESIDENT OF THE LEGISLATIVE

COUNCIL. A REPORT CONTAINING SUCH COMMENTS OR RECOMMENDATION AS IT SAW FIT.

MR. HADDON-CAVE SAID THAT IN CONDUCTING ITS EXAMINATION, THE COMMITTEE'S MAIN AIM WOULD BE TO ESTABLISH THE CIRCUMSTANCES SURROUNDING THE MATTERS REPORTED ON BY THE DIRECTOR OF AUDIT AND TO CONSIDER WHAT REMEDIAL MEASURES HAD BEEN OR SHOULD BE TAKEN.

+IN THE GOVERNMENT'S VIEW, THE COMMITTEE SHOULD BE CONCERNED, THEREFORE, WITH PRINCIPLES, SYSTEMS AND PROCEDURES RATHER THAN WITH DETAILS AND PERSONALITIES, HE SAID.

REFERRING TO THE COMMITTEE'S REPORT, THE FINANCIAL SECRETARY SAID IT WOULD REPLACE THE COMMENTS AT PRESENT PREPARED BY THE FINANCE BRANCH ON BEHALF OF THE GOVERNOR.

+THEREAFTER, THE FINANCE BRANCH, AS THE ORGAN OF THE GOVERNMENT RESPONSIBLE FOR THE CONTROL AND MANAGEMENT OF PUBLIC FUNDS, WOULD TAKE, OR ARRANGE TO BE TAKEN, SUCH ACTION AS THE ADMINISTRATION CONSIDERED APPROPRIATE ON THE COMMITTEE'S COMMENTS AND RECOMMENDATIONS.+

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