Registrar-Generals-Department-Annual-report-1972-1973 — Page 42

Authorized Auditors Board

105. Prior to 1st January 1973 when the Professional Accountants Ordinance 1972 came into operation (see paragraph 200) the Authorized Auditors Board constituted under section 132 of the Companies Ordinance was composed of ten members, namely, the Registrar General (Chairman), the Accountant General and the Commissioner of Inland Revenue as ex officio members, a Legal Adviser, and six other members appointed by the Governor, of whom five were practising accountants. The Professional Accountants Ordinance 1972 repealed section 132 of the Companies Ordinance and revoked the subsidiary legislation relating to Authorized Auditors, and the Board was therefore dissolved.

106. Before its dissolution the Board inquired into the professional qualifications, experience, competency and character of all applicants for admission to the Authorized List of Auditors kept by the Registrar of Companies under section 131(3)(a) (now repealed). The List was in two parts, Part I containing the names of persons authorized to audit accounts kept in English, Part II the names of those authorized to audit accounts kept in Chinese.

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107. During the last nine months of its existence the Board in- quired into and approved the applications of 48 auditors and 14 auditing firms for admission to Part I, and of 22 auditors and eight auditing firms for admission to Part II of the Authorized List. As at 31st December 1972 there were 331 individuals and 126 firms on Part I of the List, and 257 individuals and 106 firms on Part II. Of these, 228 individuals and 101 firms were on both Parts. Out of the 331 accountants on Part I of the List 277 were Chinese.

Companies Law Revision Committee

108. The Companies Law Revision Committee, of which the Registrar General is a member, having concluded its discussions on legislation for the prevention of fraud in relation to investments and submitted its first Report, entitled The Protection of Investors, to the Governor in 1971, continued its deliberations on the more general aspects of company law revision, and by the end of the year had held 82 meetings in all.

Securities Advisory Council

109. On 3rd January 1973 the Financial Secretary in a statement to the Legislative Council said that following upon the enactment of

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