XN000022-1989-01-12 — Page 3

N

THURSDAY, JANUARY 12, 1989

SFC BILL TO BE PUBLISHED

то THE PREPARATION THE GOVERNMENT HAVE ACCORDED TOP PRIORITY

FUTURES COMMISSION (SFC) OF LEGISLATION TO BRING THE SECURITIES AND

JACOBS, SAID INTO EARLY EXISTENCE, THE FINANCIAL SECRETARY, MR PIERS TODAY (THURSDAY).

SFC BILL, MR JACOBS SPEAKING AT THE PRESS CONFERENCE ON THE

ESSENTIAL то STRESSED THAT THE COMMISSION'S EARLY ESTABLISHMENT WAS MAINTAIN MOMENTUM IN IMPLEMENTING THE REFORM PROPOSALS PUT FORWARD THE SECURITIES REVIEW COMMITTEE (SRC) LAST JUNE.

HE

EXPRESSED HIS

THANKS

BY

STRUCTURES

FOR THE TWO EXCHANGES RECONSTITUTING THEMSELVES AND

THE WITH

OBJECTIVE OF

THE

ΤΟ SUBSTANTIAL PROGRESS THEY HAD MADE IN

MANAGEMENT

STRENGTHENING THEIR ESTABLISHING THEMSELVES AS EFFECTIVE SELF-REGULATORY ORGANISATIONS.

TO THE "OUR AIM IS TO ENSURE THAT HONG KONG FULLY MEASURES UP

CENTRES SO THAT STANDARDS REQUIRED OF MAJOR INTERNATIONAL FINANCIAL

COMMUNITY,"

WE

ATTRACT

CONTINUE TO STRESSED MR JACOBS.

INTERNATIONAL THE

INVESTING

"THE BILL IS

BASED

WHICH WERE THE SRC RECOMMENDATIONS ON

AND PUBLISHED IN JUNE LAST YEAR AND WERE WELL RECEIVED BY THE MARKETS

COMMISSION IN THE INVESTING PUBLIC. MANY OF THE POWERS GIVEN TO THE

OTHER THE BILL ARE SIMILAR TO THOSE IN OUR EXISTING ORDINANCES AND IN MAJOR FINANCIAL CENTRES, HE SAID.

++

ALSO

·

TAKEN BEEN

OF THE BEEN CONSULTED HE ADDED.

AND COMMENTS FROM A VERY

"CAREFUL ACCOUNT HAS CONCERNS OF INTERESTED PARTIES WHO HAD EARLY STAGE OF THE DRAFTING PROCESS,

ΤΟ OPERATE "WHILST GIVING THE SFC THE NECESSARY POWERS FOR IT

ALSO EFFECTIVELY DURING THE INITIAL STAGE OF ITS OPERATIONS, THE BILL

TO ENSURE THAT THERE 13 NO PROVIDES ADEQUATE CHECKS AND BALANCES

IN THE

OF THE

UNDUE

INTERFERENCE

OVER-REGULATION OR MARKETS, MR JACOBS EMPHASISED.

PERFORMANCE

THE RIGHT BALANCE BETWEEN

DO

"THE OBJECTIVE HAS BEEN TO STRIKE ENCOURAGING THE GROWTH OF MARKETS AND THE NEED TO ENSURE THAT THEY NOT GET OUT OF CONTROL," HE ADDED.

"THE

REPRESENTS BILL

A

FIRST

BUT

PHASE IMPORTANT

FUTURES LEGISLATION

OF A IN HONG HE SAID.

COMPREHENSIVE REVIEW OF SECURITIES AND KONG WHICH WILL CONTINUE AFTER THE SFC HAS BEEN ESTABLISHED,

IN THIS CONTEXT, MR JACOBS ALSO ANTICIPATED THAT IN DUE COURSE, SUPERVISORY FUNCTIONS WOULD AN INCREASED PART OF THE REGULATORY AND BE PERFORMED BY THE EXCHANGES.

SAID.

"GOVERNMENT WILL KEEP THIS MATTER UNDER

CONSTANT REVIEW, HE

גו

"THE BILL