WEDNESDAY, JUNE 22, 1988
26
FAILURE TO COMPLY WOULD ATTRACT A MAXIMUM FINE OF $100,000 AND TWO YEARS' IMPRISONMENT, HE ADDED.
THE REGISTRAR OF MONEY LENDERS, OR ANY PERSON AUTHORISED BY HIM MIGHT ENTER ANY PREMISES AND INSPECT DOCUMENTS TO ASCERTAIN WHETHER THE PROVISIONS OF THE ORDINANCE HAD BEEN COMPLIED WITH.
"AS SUCH INSPECTIONS ARE IN FACT CARRIED OUT BY THE POLICE, IT IS PROPOSED THAT THE POLICE SHOULD BE GIVEN EXPRESS POWERS UNDER THE ORDINANCE," HE SAID.
"THESE POWERS SHALL ONLY BE USED WHEN THE POLICE HAVE A REASONABLE SUSPICION THAT THE MONEY LENDER HAS COMMITTED AN OFFENCE.
"ANY DOCUMENTS SEIZED MUST BE RELATED TO THE OFFENCE. IF NO PROSECUTION WERE INSTITUTED WITHIN THREE MONTHS, THE DOCUMENTS SHOULD BE RETURNED.'
UNDER THE PRESENT ORDINANCE, INFORMATION COULD ONLY DISCLOSED IN LEGAL PROCEEDINGS OR IN REPORTS OF SUCH PROCEEDINGS.
BE
"ΤΟ ALLOW FOR GREATER CO-OPERATION BETWEEN ENFORCEMENT AGENCIES, IT IS PROPOSED THAT INFORMATION MAY ALSO BE DISCLOSED TO THE FINANCIAL SECRETARY, THE SECRETARY FOR MONETARY AFFAIRS AND ANY OTHER PUBLIC OFFICER AUTHORISED BY THE FINANCIAL SECRETARY, MR NENDICK SAID.
THE THIRD SET OF
AMENDMENTS
SOUGHT ΤΟ WIDEN THE SCOPE OF EXISTING EXEMPTIONS FROM ALL OR PART OF THE PROVISIONS OF THE ORDINANCE.
BANKS AND DEPOSIT-TAKING COMPANIES LICENSED OR REGISTERED UNDER THE BANKING ORDINANCE WERE TO BE COMPLETELY REMOVED FROM THE AMBIT OF THE MONEY LENDERS ORDINANCE.
AT PRESENT, THEY WERE SUBJECT ONLY TO THE PROVISIONS WHICH SPECIFIED A MAXIMUM EFFECTIVE INTEREST RATE OF 60 PER CENT A YEAR.
"WE CONSIDER THAT THE HIGHLY COMPETITIVE ENVIRONMENT FOR BANK LENDING BUSINESS PROVIDES ADEQUATE SAFEGUARDS AGAINST EXPLOITATION OF BORROWERS, MR NENDICK SAID.
"MORE IMPORTANTLY, THE 60 PER CENT RESTRICTION COULD INHIBIT THE PROPER WORKING OF THE INTEREST RATE MECHANISM IN THE WHOLESALE MONEY MARKET IN SUPPORT OF THE LINKED EXCHANGE RATE.
It
THE TERMS OF LARGE CORPORATE AND SYNDICATED LOANS WHICH MIGHT MAKE REFERENCES TO WHOLESALE MONEY MARKET INTEREST
RATES, WERE TO BE EXEMPTED FROM THE INTEREST RATE CEILING,
ALSO
"LARGE BORROWERS SHOULD BE ABLE TO PROTECT THEMSELVES.
"IT IS
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