TNAG-1765-FCO40-2519-Hong-Kong-stock-market-and-exchange-rate-1989 — Page 149

2

7.*

The

places

candidates for the reserved

should be nominated by

Nominating a

Committee which should comprise six members appointed by the Council: three members of the Exchange who are not on the Council and not standing for election, including at least one and three individual member; one

and

corporate non-members, two of whom should be independent members of the Council. The Chairman of the Nominating Committee should be elected by the Committee from amongst the three non-members (para. 4.52).

Chairman and vice-chairman

8.

9.*

The Chairman of the SEHK should continue to be elected

the Council by

from within the Council (SRC

was

strongly in favour of the first Chairman being an independent member) (para. 4.56).

The number of vice-chairmen should be reduced from five to two and be elected by the Council from within the Council. One should be а broker and one an independent member if the Chairman is a broker (para. 4.57).

Voting arrangements

10. Election

*

11.

should be in person by secret ballot and subject to vetting by independent scrutineers (para. 4.59).

The SEHK Articles should be amended to withdraw the right to vote in Council elections from members whose trading licence has been suspended (para. 4.61).

Terms of office

12.

13.*

The present arrangement of a three-year term for all Council members with one-third retiring each year should continue (para. 4.63).

A Council member should step down for one or two years before standing for re-election after serving for two terms, that is a total of six consecutive years. (SRC further recommended that the Council should be able to waive this six year rule if the member who has already served for six years is an

Chairman or vice-chairman who

(para. 4.63).

incumbent

is supported to serve another term)