TNAG-0563-FCO40-658-Construction-of-an-underground-railway-system-in-Hong-Kong-1975 — Page 84

G.F. 323

機密

CONFIDENTIAL * *

If the Government pays off a creditor of the Corporation

it is entitled to the same security and priority in

ranking as that creditor had (clause 12(3)).

The Corporation is to operate as a commercial

undertaking and balance revenue with expenditure

(clause 13(1)).

"Expenditure" in this respect is

amplified by clause 13(3).

Reserve funds may be established (clause 14).

The Financial Secretary is to approve

the type of securities in which the Corporation may

invest (clause 15).

Accounts are to be prepared by the Corporation

in respect of each year (clause 16(1)) and, after audit,

must be furnished to the Financial Secretary for

tabling in the Legislative Council along with the

auditor's report and a report on the affairs of the

Corporation (clause 16(4)).

The Corporation is to reimburse the Government

(clause 17(1)), in an amount to be quantified by the

Financial Secretary (clause 17(2)) and in such manner

as he directs (clause 17(3)), for certain expenditure

(clause 17(4)) of the Government in connexion with

the railway project. This amount may be used by the

Government to pay for shares in the Corporation allotted

to it (clause 10(3)).

The Corporation will not be a Government

agency (clause 18), but the Governor may obtain

information about its property and affairs (clause 19)

and, subject to compensating it in certain circumstances,

may give general directions to the Corporation (clause 20).

CONFIDENTIAL

機密