TNAG-2471-FCO40-3595-Confidential-talks-between-the-UK-and-China-regarding-financ-1992 — Page 162

?

м

Mr

сох

HKD

M

M Stora (I have minuted

in reply)

an

24/1

Compdental

zylı

FROM:

Also entered on

HKA 233/1 fclic 229

+1h3 19/1

this

Miss S Brooks Legal Counsellor

in

DATE:

22 January 1992

See (18)

CC:

Mr Chamberlain

Deputy Legal Adviser

INSTRUCTIONS TO THE GOVERNOR ON FINANCIAL MATTERS

1.

Thank you for your minute of 16 January. I think the wording which you suggest for the prerogative Order in Council is along the lines of what is needed. However, I think there would be some benefit in drawing on language in section 4 of the Public Finance Ordinance 1983. This section provides that 'No expenditure shall be charged on the general revenue except as provided by or under this Ordinance or any other enactment.' (my underlining). Section 2 of the Ordinance defines 'enactment' as including an 'imperial enactment'. Section 3 of the Interpretation and General Clauses Ordinance 1966 (I have the version which is amended only up to 1982) provides that 'imperial enactment' means any Act, any Order in Council, any Letters Patent or Royal Instructions and any rule, regulation, proclamation, order, notice, rule of court, by-law or other instrument made under or by virtue of any Act, Order in Council, Letters Patent or Royal Instructions. Since section 4 makes it clear that expenditure may be charged on the general revenue as provided for under any other enactment as defined above, I see some advantage in keeping close to the wording of this section. This would mean that in your suggested draft the words 'met from' would be replaced by the words 'charged on' and the words 'inclusion of an estimate of such expenditure in the Appropriations Ordinance' would be replaced by 'provision being made for such expenditure by or under an Appropriation Ordinance'. (The power to make the prerogative Order in Council is, of course, not dependent upon the reference to any other enactment in section 4 of the Public Finance Ordinance, helpful as it is to refer to it. The power derives from Letters Patent IX (Power of legislation reserved to the Crown)).

AELACE

Confidential

B