TNAG-1512-FCO40-2070-Kowloon-Canton-highway-and-Kowloon-Canton-Railway-Corporatio-1986 — Page 76

CONFIDENTIAL

For discussion on 1 July 1986

нос

172/2

RECEIVED IN

い

XCC(86)123

Copy No...

MEMORANDUM FOR EXIGUIIV988OUNCIL

Kowloon-Canon Railway Corporation

(Amendment) Bill 1986. ** Isken

Introduction

On 27

June 1986, having considered memorandum XCC(86)111A, the Council advised and the Governor ordered :-

(a) that

(b)

(c)

(d)

(e)

the

Kowloon-Canton

Railway Corporation (Amendment) Bill 1986 should be resubmitted at the meeting of the Council on 1 July 1986;

that, if necessary, the public should be reminded of the powers of the Governor in Council to direct the Corporation in the public interest;

that the need for and the form of the compensation clauses in the Bill should be re-examined;

that before the meeting on 1 July a final effort should be made to persuade the Kowloon Motor Bus Co. Ltd. (KMB) to operate a feeder service and, if possible, to secure agreement to the variation of their franchise, of, at least, not to undermine publicly a decision to proceed failing which attention might be drawn to the attempts made to interest KMB in operating feeder service; and

a

that the Legislative Council Brief should be prepared for issue immediately following the Council meeting on 1 July.

This paper reports to the Council the Attorney General's Chambers' advice on the compensation clauses in the Bill and the outcome of the discussion with KMB.

Compensation Clauses in the Bill

2

that

fair

The Attorney General's Chambers have advised the Government's obligation to pay KMB full and compensation for any loss of profit caused by the amendment

CONFIDENTIAL

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