XN000022-1992-07-08 — Page 32

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WEDNESDAY, JULY 8, 1992

IS

PRESENTED BASED ON PROPOSALS

"THE PACKAGE

LAST TO TIC DECEMBER, FOLLOWING A REVIEW OF THE REGULATORY SYSTEM FOR THE OUTBOUND TRAVEL INDUSTRY CONDUCTED BY GOVERNMENT IN EARLY 1991," HE ADDED.

WAS

THE REVIEW CONCLUDES THAT THE SELF-REGULATORY SCHEME WHICH INTRODUCED IN 1988 HAS SO FAR WORKED WELL. AND SHOULD THEREFORE CONTINUE.

THERE ARE, HOWEVER, AREAS FOR FURTHER IMPROVEMENTS MORE EFFECTIVE REGULATION OF THE INDUSTRY.

TO PROMOTE

OF

FOR PACKAGE SEEKS TO ENHANCE PROTECTION THE REFORM TRAVELLERS AND TO PROVIDE A SECURE SOURCE OF FINANCE FOR THE OPERATION

THE FOR WHICH TIC

IS THE SELF-REGULATORY ORGANISATION INDUSTRY.

OUTBOUND

TRAVEL

THE SALIENT FEATURES OF THE PACKAGE INCLUDE RE-CONSTITUTING TRAVELLERS, TICRF INTO AN INDEPENDENT COMPENSATION FUND FOR OUTBOUND

THE TRAVEL BE CALLED THE TRAVEL INDUSTRY COMPENSATION FUND UNDER

1 EXISTING

PER CENT LEVY INTO A AGENTS ORDINANCE; SPLITTING THE

A 0.85 PER CENT 0.15 PER CENT LEVY FOR TIC (THE COUNCIL LEVY} AND

FUND LEVY }; AND LEVY FOR TICRF (OR ITS SUCCESSOR) (THE TARGET AMOUNT OF $100 MILLION FOR TICRF (OR ITS SUCCESSOR) LEVEL THE RATE OF THE FUND LEVY WILL BE REDUCED TO 0.35 PER WILL BE THE RATE OF EX-GRATIA COMPENSATION FOR TRAVELLERS FROM 70 PER CENT TO 80 PER CENT OF THE OUTBOUND PACKAGE TOUR

SETTING A AT WHICH CENT AND INCREASED FARES.

ITS BALANCES

IN RETURN FOR THE DEDICATED LEVIES, BOTH TIC AND TICRF (OR SUCCESSOR) WILL HAVE TO BE SUBJECT TO APPROPRIATE CHECKS AND IN THE INTERESTS OF SOUND FINANCIAL MANAGEMENT, MR CHAU SAID.

"THESE WILL BE ENSHRINED IN THE TRAVEL AGENTS (AMENDMENT) TO BE INTRODUCED TO THE LEGISLATIVE COUNCIL EARLY NEXT SESSION.

TRAVEL TAKEN INTO ACCOUNT THE VIEWS OF FURTHER INFORMATION SUPPLIED BY TIC IN REFINING THE PROPOSALS, HE SAID.

"WE HAVE

I

BILL

AGENTS AND ORIGINAL REFORM

ADDRESS THE

"WE CONSIDER THAT THE PRESENT PACKAGE IS ABLE TO CONCERNS OF RELEVANT PARTIES WITHOUT UPSETTING THE BALANCE BETWEEN PROVIDING REASONABLE PROTECTION TO OUTBOUND TRAVELLERS AND SECURING AN INDEPENDENT

RELIABLE SOURCE OF FINANCE FOR TIC TO AND MANAGEMENT OF THE SELF-REGULATORY SCHEME," HE SAID.

CONTINUE

ITS

THE REFORM PACKAGE WILL FURTHER CONSOLIDATE THE EXISTING WITH INDUSTRY, TIER SYSTEM OF REGULATION FOR THE TRAVEL

MEMBERS UNDERTAKING THE DAY-TO-DAY FRONT-LINE REGULATION OF ITS THE REGISTRAR OF TRAVEL AGENTS KEEPING A REGULATORY OVERVIEW SELF-REGULATOR AND THE LICENSED TRAVEL AGENTS.

TWO-

TIC

AND

OF

THE

THE TRAVEL

AGENTS (AMENDMENT) BILL 1992 WILL BE

GAZETTED

ON

JULY 17.

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