XN000022-1995-04-03 — Page 3

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On the composition of the CFA, Mr Mathews said neither the Joint Declaration, nor the Basic Law conferred an unfettered discretion on the CFA to invite judges from other common law jurisdictions to sit on the court.

Instead they established a general principle that the CFA was to have a power to invite such judges to sit on the court, but left the precise scope of that power to be defined in the course of implementation of that general principle, he said.

The Attorney General said both the Joint Declaration and the Basic Law were in this case framework provisions which were intended to be fleshed out by more detailed legislative provisions. In particular they left the detailed composition and workings of the CFA to be defined at a later date.

"They do not specify, for example, the number of judges who are to sit in the CFA. It does not follow that all such matters are left to the unfettered discretion of the CFA itself. It is clearly contemplated that they will be the subject of further legislative provision," he said.

Mr Mathews said the fact that the general principle referred to the power to invite visiting "judges" (in the plural) did not mean that there must be a power to invite at least two judges to sit at any one sitting.

He said: "The provision in the Joint Declaration is to be interpreted as meaning that in the cases that it hears the court may invite overseas judges. The 4 plus 1 formula satisfies this meaning. Under that formula, the court can invite overseas judges (in the plural) to sit on the court, albeit not more than one for each case."

End/Monday, April 3, 1995

Tax system to be kept simple

The Government intends to keep its tax system simple, low and predictable, the acting Financial Secretary, Mr Donald Tsang, said today (Monday).

In a speech entitled "Hong Kong's Tax Regime: Helping Business to Prosper" to the British Chamber of Commerce. Mr Tsang said Ilong Kong's tax system reflected the Government's economic philosophy.