TNAG-0501-FCO40-566-Legislation-for-prevention-of-bribery-in-Hong-Kong-1975 — Page 67

G.F. 323 0003230

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CONFIDENTIAL #2

Explanatory Memorandum

This Bill amends the principal Ordinance to give effect

to the decision to transfer powers of investigation under the

principal Ordinance to the Commission Against Corruption,

It also adopts recommendations made by Sir Alastair Blair-Kerr in

the Second Report of the Commission of Inquiry into Corruption.

amends section 10 of the principal Ordinance by

introducing a rebuttable presumption that the wealth of a person who

had a close relationship with a person charged with an offence under

subsection (1)(b) shall be deemed to be that of the accused if there

is reason to believe that that person holds such wealth in trust for

or otherwise on behalf or as a gift from the accused.

Clause 4 follows the recommendation of the Commission of

Inquiry that the penalties for certain offences against the

Ordinance should be increased. Paragraph (c) of this clause will

enable a court to order the confiscation of such part of the

unexplained wealth of a person convicted of an offence under

section 10(1)(b) as it thinks fit.

Clause 6 amends section 14 of the principal Ordinance and

dopts the recommendation that the failure of any person to answer

a notice served under that section should be an offence. The making

of a wilfully false answer to such a notice will also become an offence.

Clause 7 introduces four new sections into the Ordinance

for the purpose of restricting the dealing with property of a person

CONFIDENTIAL

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