XN000022-1978-08-02 — Page 26

WEDNESDAY, AUGUST 2, 1978

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PROBATE AND ADMINISTRATION (AMENDMENT) BILL

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A BILL INTENDED TO REGULATE THE DISPOSAL OF INTEREST ON ESTATE ACCOUNTS OPERATED BY THE OFFICIAL ADMINISTRATOR WAS INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY.

MOVING THE SECOND READING OF THE PROBATE AND ADMINISTRATION (AMENDMENT) BILL 1978, THE SOLICITOR GENERAL, THE HON. GARTH THORNTON, SAID THE DUTIES OF THE OFFICIAL ADMINISTRATOR, WHOSE FUNCTIONS ARE PERFORMED BY THE REGISTRAR OF THE SUPREME COURT, ARE TO ADMINISTER THE ESTATES IN HONG KONG OF PERSONS WHO DIE WITHOUT LEAVING A WILL AND WHERE THERE IS NO NEXT OF KIN IN HONG KONG READY AND ABLE TO ACT.

THE OFFICIAL ADMINISTRATOR ADMINISTERS SUMMAR ILY AND QUICKLY VERY SMALL ESTATES UNDER $20,000 IN VALUE. LAST YEAR. 840 ESTATES WERE ADMINISTERED IN THIS WAY.

MR. THORNTON, SAID THAT OVER THE LAST 30 YEARS, AN ACCUMULATION HAS ARISEN OF SMALL AMOUNTS OF INTEREST WHICH WERE NOT APPORTIONED TO PARTICULAR ESTATES AND AS A RESULT OF AUDIT QUERIES AND THE DIRECTOR OF AUD IT'S ADVICE THAT SUCH MONEY SHOULD BE PAID TO GENERAL REVENUE, THE AMENDING LEGISLATION IS INTENDED TO REGULATE THE DISPOSAL OF INTEREST FAIRLY AND CLEARLY.

MR. THORNTON SAID THE AMENDMENT BILL EMPOWERS THE CHIEF JUSTICE TO MAKE RULES REGULATING THE PAYMENT OF INTEREST ON MONEYS IN ANY OF THE ACCOUNTS OF THE OFFICIAL ADMINISTRATOR.

MR. THORNTON ADDED THAT IF THE BILL IS ENACTED, THE CHIEF JUSTICE INTENDS TO MAKE RULES REQUIRING ALL INTEREST ACCRUING TO BE CREDITED TO THE ESTATES IN THE CASE OF ESTATES OF OVER $20,000 IN VALUE.

IN THE CASE OF ESTATES UNDER $20,000 IN VALUE WHERE ADMINISTRATION IS COMPLETED WITHIN THREE MONTHS, NO INTEREST SHALL BE CREDITED TO THE ESTATE. IF ADMINISTRATION IS NOT COMPLETED WITHIN THREE MONTHS THEN INTEREST SHALL BE CREDITED ON MONEYS IN THE CHIEF JUSTICE'S POSSESSION AT THE CURRENT SAVINGS BANK RATE, MR. THORNTON ADDED.

A NEW SECTION HAS ALSO BEEN PROPOSED TO PROVIDE THAT IF INTEREST IS NOT REQUIRED TO BE CREDITED OR PAID TO ANY ESTATE UNDER THE PROPOSED RULES MADE BY THE CHIEF JUSTICE, IT SHALL BE TRANSFERRED TO GENERAL REVENUE.

DEBATE ON THE BILL WAS ADJOURNED.

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