XN000022-1988-06-22 — Page 35

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WEDNESDAY, JUNE 22, 1988

PRIVATE BILL ON BANK SALE AGREEMENT

*

HONG KONG IS SHOWN TO BE MOST RESPONSIBLE IN AFFORDING CERTAINTY OF OPERATION TO FINANCIAL INSTITUTIONS AND CUSTOMERS, THE HON DAVID LI SAID TODAY (WEDNESDAY} WHEN INTRODUCING THE RAINIER INTERNATIONAL BANK (TRANSFER OF HONG KONG UNDERTAKING) BILL 1988 THE LEGISLATIVE COUNCIL.

INTO

HE SAID THE PRIVATE BILL WAS NECESSARY то ASSIST THE IMPLEMENTATION OF A CONDITIONAL SALE AND PURCHASE AGREEMENT MADE BETWEEN RAINIER INTERNATIONAL BANK AND THE DAIWA BANK LIMITED ON APRIL 27 THIS YEAR.

UNDER THE AGREEMENT, DAIWA BANK LIMITED WOULD ACQUIRE THE HONG KONG UNDERTAKING OF RAINIER INTERNATIONAL BANK'S NINE BRANCHES IN THE TERRITORY.

WOULD

"UNDER HONG KONG LAW, AN AGREEMENT TO SELL A BANKING BUSINESS BE EXTREMELY DIFFICULT ΤΟ IMPLEMENT WITHOUT ENABLING LEGISLATION, MR LI SAID.

·

"FOR EXAMPLE, THE INDIVIDUAL AGREEMENT OF EACH OF OVER 30,000 CURRENT AND DEPOSIT ACCOUNT HOLDERS WOULD BE REQUIRED.

"THE BILL CLARIFIES A NUMBER OF SUCH MATTERS AND AFFORDS CERTAINTY TO THE BANK AND ITS CUSTOMERS IN HONG KONG.

MR LI ALSO REASSURED MEMBERS THAT NO STAMP DUTY WOULD BE SAVED BY THE BILL. BOTH OF THE BANKS INVOLVED WOULD ENSURE THAT THE STAMP DUTY POSITION UNDER THE BILL SHOULD BE PRECISELY THE SAME AS BEFORE.

FOUR BILLS PASSED

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LEGISLATIVE COUNCIL TODAY

FOUR BILLS WERE PASSED IN THE

(WEDNESDAY).

THE BILLS WERE THE INTERPRETATION (AMENDMENT) BILL 1988, THE AUDIT (AMENDMENT) UNIONS (AMENDMENT) BILL 1988 AND THE MENTAL 1987.

AND

GENERAL CLAUSES

BILL

1988, THE

TRADE

HEALTH

{ AMENDMENT)

BILL

/EIGHT BILLS