TNAG-1645-FCO40-2292-Company-law-reform-in-Hong-Kong-Companies-(Amendment)-(No.-2-1987 — Page 110

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9.6

When the Standing Committee considered this proposed section

in late 1985, two of the ex-officio Members commented on it. Mr. Gleeson,

Registrar General, in his capacity as Registrar of Companies, thought

that if legislation along the lines of the proposed section, and

incorporating all the amendments recommended by members of the public

who had commented on it, was enacted, there would be no practical way

for him to enforce it strictly. For example, he would have great

difficulty in deciding what information was price-sensitive in

particular circumstances.

9.7

Mr. Astin, Commissioner for Securities, supported the

principle behind the proposed Section 155D but thought that the

clause itself had been too restrictive. He thought that the

Securities Commission's then-draft Stock Exchange Listing Rules,

which were scheduled to go into operation in early 1986, would

go a long way towards meeting the need for prompt disclosures of

price-sensitive information.

9.8

It was agreed that Members should at least have an

opportunity to see the finalised form of the Securities Commission's

Stock Exchange Listing Rules before reaching any decision on this

matter.

9.9

Consideration was therefore resumed in early 1986 after the

Securities (Stock Exchange Listing) Rules 1986 came into operation on

1st February 1986.

9.10

The Standing Committee noted that, in the context of

information to shareholders, the important part of the Rules is the

Undertaking in the Schedule which sets out the information which listed

companies are required to supply to, inter alios, their shareholders.

Paragraph 2 of the Undertaking contains a general obligation to

supply information.

It appeared to Members that, in comparing this

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