XN000022-1994-05-05 — Page 2

THURSDAY, MAY 5, 1994

CLARIFICATION ON LAND FUND NEEDED

THE GOVERNOR, THE ᎡᎢ HON CHRISTOPHER PATTEN, SAID TODAY (THURSDAY) HE WAS SURE THAT DIRECTOR LU PING WOULD BE ABLE TO CLEAR UP ANY MISUNDERSTANDING THAT MIGHT HAVE ARISEN BECAUSE OF THE REMARKS YESTERDAY ON THE LAND FUND.

RESPONDING то A MEDIA QUESTION ABOUT A NEWS ARTICLE ON LAND FUND AFTER HIS VISIT TO THE WELLINGTON COLLEGE, MR PATTEN SAID: "WHILE I AM SURE THE REMARKS MAY HAVE BEEN WELL-INTENTIONED, [ THINK THEY HAVE CAUSED A GREAT DEAL OF CONCERN AND CONFUSION."

NOTING THAT THE LAND FUND WOULD BE WORTH ABOUT $100 BILLION 1997 AND MIGHT BE HIGHER, THE GOVERNOR SAID THE LAND FUND SHOULD TREATED ACCORDING TO THE TERMS OF THE TRUST DEED THAT WAS SET UP THE FIRST PLACE.

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"THE TRUST DEED MADE IT ABSOLUTELY CLEAR THAT THE MONEY IN LAND FUND IS MONEY THAT BELONGS TO THE PEOPLE OF HONG KONG, MR PATTEN SAID.

"AND IMMEDIATELY AFTER JULY 1, 1997, THE SAR GOVERNMENT BECOMES RESPONSIBLE FOR THE MONEY IN THE LAND FUND SO THERE IS THIS CONFUSION WHICH IS UNDERSTANDABLY WORRYING PEOPLE."

MR PATTEN SAID A CLARIFICATION BY DIRECTOR LU WOULD BE WELCOME ALL ROUND.

"I DON'T THINK IT'S A POINT THAT WE WANT TO TURN INTO A GREAT CONTROVERSIAL ISSUE BUT WE DO, I THINK, WANT TO HAVE SOME CLARIFICATION OF WHAT EXACTLY IT'S MEANT, THE GOVERNOR ADDED.

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"I AM ABSOLUTELY CONVINCED THAT CHINESE OFFICIALS DON'T WANT TO CHANGE THE TERMS OF THE TRUST DEED BUT THEY DO, I THINK, OWE IT TO HONG KONG TO MAKE THAT CLEAR.

ASKED ABOUT A TARGET LIST AS INSISTED BY MR ALEX TSUI TODAY, THE GOVERNOR SAID: "THERE AREN'T ANY TARGET LISTS. THE ICAC OPERATES WITHIN THE LAW AND THE LAW IS ABSOLUTELY SPECIFIC ABOUT THE OBLIGATIONS ON THE ICAC, THOUGH THOSE PRECISE STATUTORY OBLIGATIONS ARE BEING EXAMINED AT THE MOMENT BY THE COMMITTEE WHICH WAS SET UP UNDER MR HELMUT SOHMEN.'

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