TNAG-2464-FCO40-3588-UK-business-interests-in-Hong-Kong-Jardine-Matheson-Holdings-1992 — Page 27

2

(ii)

The Governor

the bank will become a member of the Hong Kong Association

of Banks and thereafter, in accordance with and subject to the provision of section 7 (1) of the Hong Kong Association of Banks Ordinance, remain a member of the

Association.

in Council retains discretion to refuse any application even though the criteria are satisfied.

2. Licensed bank : local applicants

The

(a) Upon application, licences will normally be granted by the Governor in Council under section 16(1) of the Banking Ordinance to a restricted licence bank or deposit-taking company which satisfies the following

(b)

criteria -

(i) it is a limited company incorporated in Hong Kong which has a paid up capital of at least $150 million;

(ii) it is predominantly beneficially owned by Hong Kong interests, or in the opinion of the Governor in Council, is otherwise closely associated and identified with Hong Kong;

(iii) if the company is a subsidiary or an associate of a licensed bank in Hong Kong, it is widely recognised as an entity in its own right, and has a separate management structure at executive level;

(iv)

(v)

it has been an authorized institution for at least 10 years;

it has public deposits (other than from banks, other restricted licence banks or deposit-taking companies, or connected depositors) of at $3.5 billion, and total assets (less contra items) of at least $5 billion (these figures to be subject to annual review).

least

A licence will be subject to the condition that the bank becomes a member of the Hong Kong Association of Banks and thereafter, in accordance with and subject to the provision of section 7(1) of the Hong Kong Association of Banks Ordinance, remains a member of the Association.

Governor in Council retains the discretion to refuse any application even though the criteria are satisfied.