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Like some Members of the Committee, our main reservations on the proposal relate to public corporations like the MTRC, the KCRC and the Airport Authority who are established by law to run on prudent commercial principles. For this category of public organisations, we remain of the view that it would be inconsistent with the concept of establishing statutory bodies with a legal requirement to operate along commercial principles if their day to day management were to be placed under the scrutiny of the Director of Audit, and eventually to be made public.

We prefer instead to continue to place reliance on the tried and tested statutory and regulatory framework under which such bodies are required to operate. This includes internal and external professional audits and reporting of accounts to this Council. We have no wish to be complacent in this respect, however. We will therefore continue to examine further areas for increasing transparency and accountability, as suggested by Members, where these are also consistent with the principles of sound commercial management.

Mr President, I wish to conclude by saying that it is the aim of the Administration to serve the community by delivering quality services that are efficient and effective. The Director of Audit and the Public Accounts Committee have played a significant role in ensuring that we are on the mark. We will continue to work closely with them in our quest for greater efficiency.

End/Wednesday, October 18, 1995

HK Sport Development Board Annual Report

Following is the speech by the acting Secretary for Recreation and Culture, Mrs Rachel Cartland, on the Annual Report of the Hong Kong Sports Development Board at the Legislative Council today (Wednesday):

I am pleased to be able to present the Annual Report of the Hong Kong Sports Development Board for the year 1994-95. This Report incorporates the statement of the Hong Kong Sports Institute, and is the first consolidated report of the two organisations since they were integrated under the Hong Kong Sports Development Board Ordinance, with effect from 1 April 1994.