XN000022-1992-07-02 — Page 8

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THURSDAY, JULY 2, 1992

HE STRESSED THAT MANAGEMENT WOULD CONTINUE TO GIVE A HIGH PRIORITY TO ENSURING THAT PERSONNEL CONCERNS WERE TAKEN FULLY INTO ACCOUNT.

"CHANGES WILL THEREFORE TEND TO BE EVOLUTIONARY, AS THE PACE OF CHANGE MUST TAKE MANY PRACTICAL CONSIDERATIONS INTO ACCOUNT, HE SAID.

THE UNIT IS ALSO LOOKING AT THE COMPANIES REGISTRY AND THE LAND REGISTRY IN THE REGISTRAR GENERAL'S DEPARTMENT, WHICH PROVIDE SERVICES ON A QUASI-COMMERCIAL BASIS.

"ACTION IS NOW WELL ADVANCED THROUGH A PROJECT TEAM IN THE REGISTRAR GENERAL'S DEPARTMENT TO INTRODUCE AN ACCOUNTING FRAMEWORK, CALLED A TRADING FUND, WHICH WOULD ENABLE THE REGISTRIES TO RESPOND PROMPTLY TO DEMAND IN TERMS OF VOLUME AND STANDARD OF SERVICE, BY OPERATING ON A MORE COMMERCIAL BASIS," HE SAID.

MR FOOTMAN ALSO POINTED TO THE RECENT DECISION THAT BRANCH SECRETARIES WOULD IN FUTURE BE GIVEN THE FLEXIBILITY TO PLAN THE OF THEIR RESOURCES ON THE BASIS OF AN OVERALL AMOUNT ALLOCATED EVERY YEAR TO THEIR POLICY AREAS.

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COMPANIES (AMENDMENT) (NO. 2) BILL 1992, SECURITIES AND

FUTURES COMMISSION (AMENDMENT) (NO. 2) BILL 1992

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THE COMPANIES (AMENDMENT) (NO. 2) BILL 1992 AND THE SECURITIES AND FUTURES COMMISSION (AMENDMENT) (NO. 2) BILL 1992, WHICH PROVIDE FOR THE TRANSFER OF CERTAIN FUNCTIONS FROM THE REGISTRAR OF COMPANIES (THE REGISTRAR) TO THE SECURITIES AND FUTURES COMMISSION (SFC) AND THE STOCK EXCHANGE OF HONG KONG LTD. (SEHK) WILL BE INTRODUCED INTO THE LEGISLATIVE COUNCIL ON JULY 15.

THIS WAS STATED BY THE SECRETARY FOR MONETARY AFFAIRS, MR DAVID NENDICK, TODAY (THURSDAY).

SFC

MR NENDICK SAID UNDER THE CURRENT SYSTEM, THE REGISTRAR, THE AND SEHK ALL HAD VETTING RESPONSIBILITIES IN RESPECT OF PROSPECTUSES AND THERE WAS CONSIDERABLE DUPLICATION AND OVERLAPPING OF THESE RESPONSIBILITIES.

"IN LINE WITH THE RECOMMENDATIONS OF THE 1988 REPORT OF THE SECURITIES REVIEW COMMITTEE, THE ADMINISTRATION BELIEVES THAT THE EXISTING VETTING SYSTEM SHOULD BE RATIONALISED AND STREAMLINED SO THAT ONLY A SINGLE BODY VETS AND APPROVES THE DOCUMENTATION FOR A NEW ISSUE," HE SAID.

HE EXPLAINED THAT THE FOLLOWING IS PROPOSED UNDER THE LEGISLATION :

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