13
WEDNESDAY, FEBRUARY 14, 1990
"IT IS FOR THE COURT TO DECIDE UPON THE PENALTY IN THE LIGHT OF ALL THE CIRCUMSTANCES,
APPROPRIATE LEVEL OF HE SAID.
THE FINANCIAL SECRETARY ALSO POINTED OUT THAT IT WAS THE RESPONSIBILITY OF COMPANY DIRECTORS TO ACQUAINT THEMSELVES FULLY WITH THEIR DUTIES UNDER THE COMPANIES ORDINANCE, AND TO PENALTIES INVOLVED FOR FAILING TO FULFIL THOSE DUTIES.
AWARE OF THE
REFERRING ΤΟ MR WONG'S REMARK ON THE PROVISION UNDER SECTION 89(4) WHICH REQUIRED A COMPANY TO KEEP A REGISTER OF CHARGES, SIR PIERS SAID THE PROVISION WAS NECESSARY BECAUSE UP-TO-DATE INFORMATION RELATING TO A COMPANY'S CHARGES AND THE WHEREABOUTS OF THE REGISTER HAD TO BE AVAILABLE TO THE PUBLIC AT ALL TIMES.
"THIS INFORMATION IS PARTICULARLY
||
SHAREHOLDERS, HE SAID.
RELEVANT ΤΟ CREDITORS AND
AS TO THE QUESTION OF PUBLICITY, SIR PIERS SAID A PRESS RELEASE WOULD BE ISSUED TO INFORM THE PUBLIC OF THE NEW PENALTIES.
"IN ADDITION, THERE ARE BOOKLETS AVAILABLE AT THE COMPANIES REGISTRY ON SELECTED PROVISIONS OF THE COMPANIES ORDINANCE WITH SPECIAL REFERENCE TO THE DOCUMENTS REQUIRED ΤΟ BE FILED WITH THE COMPANIES REGISTRY," HE ADDED.
-
COMPANIES BILL A COMMENDABLE EFFORT
THE COMPANIES (AMENDMENT) (NO. 2) BILL 1989 IS A COMMENDABLE EFFORT то RATIONALISE THE FINES AND PUNISHMENTS FOR THE TRANSGRESSIONS OF THE COMPANIES ORDINANCE, THE HON PETER H.Y. WONG SAID IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).
BUT HE URGED THE AUTHORITIES TO APPLY THESE FINES WITH CARE то ENSURE FAIRNESS.
SPEAKING DURING THE RESUMED DEBATE OF THE BILL, MR WONG POINTED OUT THAT IT WAS REGRETTABLE THAT THE TRACK RECORD OF GOVERNMENT DEPARTMENTS APPLYING INCREASED PENALTIES HAD BEEN PERCEIVED BY THE ACCOUNTING PROFESSION AS ONE OF UNCARING BUREAUCRACY, SUCH AS THE PENALTIES FOR LATE FILING OF ANNUAL RETURNS AND LATE FILING OF TAX RETURNS.
HE NOTED THAT SECTION 89(4) PROVIDED FOR A PUNISHMENT OF $25,000 AND A DAILY FINE OF $500 IF A COMPANY FAILED ΤΟ KEEP A REGISTER OF CHARGES OR FAILED ΤΟ NOTIFY THE REGISTRAR WHERE THE REGISTER OF CHARGES WAS KEPT.
**
WHILST THIS MAY BE FITTING TO A COMPANY WHICH HAS PURPOSELY TRIED TO HIDE A CHARGE FROM ITS CREDITORS,
IT IS NOT UNCOMMON FOR DIRECTORS TO BE IGNORANT ABOUT THE NEED TO UPKEEP A REGISTER OF CHARGES UNTIL THE OMISSION IS POINTED OUT TO THEM AT THE TIME OF THE AUDIT.
"IT WOULD BE VERY UNFAIR TO LEVY THE FULL FINES IN SUCH CIRCUMSTANCES, HE SAID.
/14
T
No comments yet.
Private notes are available after approval.