TNAG-1765-FCO40-2519-Hong-Kong-stock-market-and-exchange-rate-1989 — Page 189

1988-06-01

18:21 G.I.S

P.03/13

S.J

Statement by Mr Ian Hay Davison, Chairman of the Securities Review Committee, at the press conference on June 2, 1988 (Thursday)

HKC 100

Committee formally

Last

Thursday,

25 May,

my

delivered its

report ОП "The Operation and Regulation of

the

Securities Industry" Hong Kong

to the Governor.

We

were appointed by the Governor on 16 November 1987 just

four weeks after the October crash. At the time we agreed

We failed

do our best to report in six months:

but we

are only ten days late.

-

Our ters of reference set out at the beginning

call on us. to review the

the report

of Chapter II of

constitution, powers, management and operations of the Hong-

Exchanges, the Securities and

Kong

Stock and Futures

Commodities Trading Commissions and the Office of the

Commissioner

for Securities.

We were to prepare a

blueprint for the future rather than to allocates blame for

the past.

The basis for our report was firstly the events of

the crash, the closure and the subsequent rescue of the

Futures Exchange. These events are summarised in Appendix

Second, 115 written submissions from interested parties

and а long series of meetings and discussions with members

Of the Hong Kong financial community. The parties are

1.

identified

in

Appendices

6 and 7. Thirdly, conversations