XN000022-1984-11-02 — Page 3

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FRIDAY, NOVEMBER 2, 1984

*THE GROWTH IN TRADE BETWEEN HONG KONG AND CHINA, WHICH

IS NOW OUR SECOND LARGEST MARKET FOR DOMESTIC EXPORTS. IS CLEARLY OF MUTUAL BENEFIT, AND I WOULD EXPECT TO SEE IT DEVELOP FURTHER IN THE PERIOD UP TO 1997 AND BEYOND.

+LESS EASY TO QUANTIFY THAN THE EXPANSION OF TRADE IN GOODS, BUT EQUALLY IMPORTANT, IS THE GROWING TRADE IN SERVICES. CHINA HAS INDICATED THAT HONG KONG IS EXPECTED TO PLAY AN IMPORTANT ROLE IN THE FOUR MODERNISATIONS PROGRAMME,

+SO IN ADDITION TO THE USE CHINA CAN MAKE OF HONG KONG AS A MEANS OF INCREASING ITS EXPORT EARNINGS TO PAY FOR IMPORTED TECHNOLOGY, IT IS CLEAR THAT HONG KONG IS NOW SEEN AS A CHANNEL THROUGH WHICH CHINA CAN GAIN ACCESS TO THE PROFESSIONAL AND FINANCIAL SKILLS IT NEEDS.

+OVERALL THERE WILL BE A CONTINUING NEED FOR INCREASED PROFESSIONALISM ON THE PART OF HONG KONG MANAGERS AND IMPROVED TRAINING AT ALL LEVELS. AND I WELCOME IN THIS AREA THE INCREASED EFFORTS OF THE VOCATIONAL TRAINING COUNCIL, WHICH ARE BEGINNING TO BEAR FRUIT; FOR EXAMPLE, THE RECENT OPENING OF ITS MANAGEMENT DEVELOPMENT CENTRE AIMED AT COORDINATING AND IMPROVING MANAGEMENT AND SUPERVISORY TRAINING, HE SAID.

TRIBUNAL TO INVESTIGATE SHARES DEALING

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THE FINANCIAL SECRETARY TODAY ISSUED A NOTICE TO THE CHAIRMAN OF THE INSIDER DEALING TRIBUNAL REQUIRING THE TRIBUNAL TO INQUIRE INTO AND DETERMINE, IN ACCORDANCE WITH THE PROVISIONS OF THE SECURITIES ORDINANCE, WHETHER CULPABLE INSIDER DEALING IN RELATION TO ORDINARY SHARES IN INTERNATIONAL CITY HOLDINGS LTD. OR ANY RELATED COMPANIES TOOK PLACE IN THE PERIOD BETWEEN JANUARY 1, 1984 AND JUNE 30, 1984, AND THE IDENTITY OF ANY PERSONS INVOLVED IN SUCH INSIDER DEALING AND THE EXTENT OF THE IR CULPABILITY.

IT WAS ANNOUNCED IN THE GOVERNMENT GAZETTE TODAY THAT THE GOVERNOR HAD APPOINTED THE HONOURABLE MR JUSTICE CLOUGH AS CHAIRMAN OF THE INSIDER DEALING TRIBUNAL FOR A PERIOD OF THREE YEARS WITH EFFECT FROM NOVEMBER 1, 1984. THE FINANCIAL SECRETARY

ADDED THAT MR GORDON MACWHINNIE AND MRS BARBARA WONG HAD BEEN APPOINTED BY THE GOVERNOR TO ACT IN RELATION TO THIS PARTICULAR INQUIRY,

IT IS EXPECTED THAT THE TRIBUNAL WILL HOLD ITS FIRST MEETING WITHIN THE NEXT WEEK.