XN000022-1989-03-08 — Page 32

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WEDNESDAY, MARCH 8, 1989

MOTION ON FUTURES EXCHANGE MEETING PASSED

THE LEGISLATIVE COUNCIL TODAY PASSED A MOTION WHICH WILL THE HONG KONG FUTURES EXCHANGE LIMITED TO POSTPONE HOLDING ANNUAL GENERAL MEETING BY A FURTHER THREE MONTHS TO JULY 1.

ITS

THE MOTION WAS MOVED BY THE FINANCIAL SECRETARY, THE HON JACOBS, UNDER SECTION 5 OF THE HONG KONG FUTURES EXCHANGE (TEMPORARY PROVISIONS) ORDINANCE.

ALLOW

THIRD

PIERS LIMITED

SELF-INITIATED PROPOSED BY THE ENACTED ON JULY

MR JACOBS EXPLAINED THAT TO FACILITATE THE REFORMS OF THE FUTURES EXCHANGE ALONG THE LINES SECURITIES REVIEW COMMITTEE, THE ORDINANCE HAD BEEN 14 LAST YEAR.

ANNUAL ΤΟ BE

SIX

THIRD

DUE

OF

UP

TO

THIS EFFECTIVELY POSTPONED THE HOLDING OF THE GENERAL MEETING OF THE HONG KONG FUTURES EXCHANGE LIMITED HELD ON OR BEFORE SEPTEMBER 30 LAST YEAR BY A PERIOD MONTHS TO APRIL 1.

SECTION 5 OF THE ORDINANCE PROVIDED FOR A FURTHER OF THREE MONTHS BY RESOLUTION OF THE LEGISLATIVE COUNCIL.

THE HONG KONG FUTURES EXCHANGE HAD HELD AN GENERAL MEETING ON FEBRUARY 23 TO SEEK ITS RECONSTITUTION PACKAGE.

SHAREHOLDERS'

POSTPONEMENT

EXTRAORDINARY ENDORSEMENT OF

THIS PACKAGE AIMED AT IMPROVING THE STRUCTURE, EFFICIENCY AND RISK MANAGEMENT OF THE FUTURES EXCHANGE LINES RECOMMENDED BY THE SECURITIES REVIEW COMMITTEE.

OPERATIONAL ALONG THE

REQUIREMENTS DIFFICULTY,

14

"THREE RESOLUTIONS WHICH

AND THE MEMBERSHIP MR JACOBS SAID.

CONCERNED REVISIONS

STRUCTURE WERE PASSED

TO CAPITAL WITHOUT

BOARD

THE

OF COURSE

OF THEIR VOTES CAST

THE

OF

"A FOURTH RESOLUTION WHICH CONCERNED RECONSTITUTION AND THE PROPOSED DISENFRANCHISEMENT IN DUE NON-MEMBER SHAREHOLDERS AND THOSE MEMBERS IN DEFAULT OBLIGATIONS WAS ENDORSED BY JUST OVER 74 PER CENT OF AT THE MEETING."

THE RESOLUTION THUS NARROWLY MISSED THE 75 PER CENT VOTE REQUIRED FOR ITS ADOPTION AS A SPECIAL RESOLUTION.

THE

MAJORITY

SUPPORTED BY EXTRAORDINARY FOR THE THE FUTURES

"THE FACT THAT THE RECONSTITUTION PROPOSALS WERE ALMOST ALL ACTIVE MEMBER-SHAREHOLDERS WHO ATTENDED GENERAL MEETING INDICATES GENERAL SUPPORT OF MARKET USERS CONSTITUTIONAL REFORMS PUT FORTH BY THE BOARD OF EXCHANGE," MR JACOBS SAID.

ESSENTIAL

FOR BY

THE

THE

ΤΟ

"IN VIEW OF THESE ENCOURAGING SIGNS, IT IS PRESENT BOARD OF DIRECTORS, INCLUDING THOSE APPOINTED GOVERNMENT, WHO HAVE BEEN INSTRUMENTAL IN PROPOSING THESE REFORMS, RETAIN THEIR POSITIONS FOR A FEW MORE MONTHS то ASSIST THROUGH A FULL RECONSTITUTION OF THE EXCHANGE.'

TN SEEING

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