XN000022-1989-06-28 — Page 25

WEDNESDAY, JUNE 28, 1989

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STATUTORY FRAMEWORK FOR RADIO BROADCASTING LICENCES

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THE TELECOMMUNICATION (AMENDMENT) BILL 1989 AND THE BROADCASTING AUTHORITY (AMENDMENT) BILL 1989, WHICH PROVIDE A STATUTORY FRAMEWORK FOR THE GRANT OF A NEW LICENCE TO THE COMMERCIAL BROADCASTING CO. LTD. AND FOR THE AWARD OF COMMERCIAL RADIO LICENCE BY TENDER IN 1990, WERE INTRODUCED LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

HONG KONG A SECOND INTO THE

MOVING THE SECOND READING OF THE TELECOMMUNICATION (AMENDMENT) BILL 1989, THE SECRETARY FOR ADMINISTRATIVE SERVICES AND INFORMATION, THE HON PETER TSAO, POINTED OUT THAT NEITHER THE TELECOMMUNICATION ORDINANCE NOR THE PRESENT RADIO LICENCE CONTAINED ANY PROVISIONS ON CROSS-MEDIA OWNERSHIP. HOWEVER, THERE WERE PROVISIONS IN THE TELEVISION ORDINANCE WHICH INTRODUCED THE CONCEPT OF "DISQUALIFIED PERSONS".

"THE EFFECT OF THESE PROVISIONS IS THAT CERTAIN PERSONS AND COMPANIES WHICH COULD BRING INFLUENCE TO BEAR ON A TELEVISION LICENCE MAY NOT HOLD OFFICE IN A TELEVISION LICENSEE COMPANY OR BENEFICIALLY OWN MORE THAN 15 PER CENT OF THE SHARES OF A TELEVISION LICENSEE.

"RESTRICTIONS OF A SIMILAR KIND ARE

MR TSAO SAID.

HE SAID THE

FAIRLY COMMON OVERSEAS,

H

ADMINISTRATION RECOGNISED THAT THERE WERE DIFFERENCES FOR RADIO BROADCASTING AND IT WAS APPROPRIATE THAT THE PROPOSED REGULATORY FRAMEWORK FOR RADIO SHOULD TAKE ACCOUNT DIFFERENCES.

OF THESE

"IN THE CASE OF CROSS-MEDIA OWNERSHIP, OR 'DISQUALIFIED PERSONS' PROVISIONS, WE ARE PROPOSING THE ADOPTION OF A STRINGENT REGULATORY FRAMEWORK, HE SAID.

I

LESS

HE SAID THAT THE DEFINITIONS RELATING ΤΟ THE DISQUALIFIED PERSONS PROVISIONS IN THIS BILL HAD NOT BEEN EASY TO DRAFT.

UNDER THE AMENDMENT BILL, PERSONS OR COMPANIES WITH SPECIFIED INTERESTS RELATED TO BROADCASTING, INCLUDING PERSONS WHO SUPPLIED MATERIAL FOR BROADCASTING BY A LICENSEE, BROADCASTING ORGANISATIONS, ADVERTISING AGENTS OR PERSONS WHO EXERCISED CONTROL OVER COMPANIES OR ORGANISATIONS ENGAGED IN SUCH BUSINESSES, SHOULD BE PERMITTED TO OWN UP TO 35 PER CENT OF THE VOTING SHARES IN A RADIO LICENSEE, EXCEPT THAT ONE RADIO LICENSEE IN HONG KONG WOULD BE LIMITED ΤΟ A 15 PER CENT SHARE HOLDING IN ANOTHER RADIO LICENSEE.

"A TELEVISION LICENSEE IN HONG KONG WILL OF COURSE NEED TO ENSURE THAT IT REMAINS IN COMPLIANCE WITH THE PROVISIONS OF THE TELEVISION ORDINANCE,' MR TSAO SAID.

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ON FOREIGN OWNERSHIP, MR TSAO SAID HE BELIEVED THERE WAS A STRONG CASE FOR THE CONTROL OF BROADCASTING LICENSEES IN HONG KONG TO BE IN THE HANDS OF PEOPLE WHO WERE MOST LIKELY ΤΟ HAVE BONG KONG'S BEST INTERESTS AT HEART.

/"ON THE

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