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giving any notice to the owners. Can we deal with this problem similarly? I don't think the third part of my question has been answered.

DR. RONALD D. B. LEUNG (in Cantonese):-Since this is the same question which Mr. FUNG asked 18 months ago, I think he is well familiar with all the procedures in issuing such a notice. That is why I do not focus my reply on that aspect. As regards whether we should amend the law or not, I think this should be considered by the Whole Council as we are aware that amendment of legislation cannot be done within a short period of time.

MR. FREDERICK K. K. FUNG (in Cantonese):-Dr. LEUNG, can you promise giving us an assurance that the ENH Select Committee will consider amending the law?

DR. RONALD D. B. LEUNG (in Cantonese):---I can promise Mr. FUNG that at our next meeting of the ENH Select Committee or thereafter, we will discuss with the Department to see what improvements by way of amendment of law can be made to improve the situation.

MR. TONG KAM-BIU (in Cantonese):-Madam Chairman, I understand in the past 18 months that the Department as well as the ENH Select Committee has done a lot. This can be seen from the statistics of prosecution. However, the problem still exists. I live in Sham Shui Po and I don't think there is any actual improvement. In fact the situation has worsened. The local residents are very dissatisfied with this nuisance. So I wounder whether we should enlist the assistance from the Police as well as other departments say FSD, the District Office or the Highways Department to launch an operation. This is indeed a historical problem. Many people like to go there to make purchases. I would like to emphasize that the USD alone cannot deal with the problem. So perhaps our Committee should try to liaise with other departments to jointly tackle the problem.

DR. RONALD D. B. LEUNG (in Cantonese):-Mr. TONG has asked two questions. The first is that why isn't there any improvement at all or even the situation has worsened. Members will understand that similar type of trading existed over the nullah in Nam Cheong Street. When that place was turned into a garden, those hawkers there have moved to Apliu Street and that is why the situation has worsened. If the situation has not deteriorated, there is already improvement there. The second question concerns the co-operation with other departments besides the Police. In fact, the cooperation with the Police is quite adequate. Since we are short of manpower, we cannot further increase the number of raids taken out together with the Police. For example in the past 18 months, we already had 52 joint operations with the Police and there were 23 operations undertaken by our GDT Members alone. So, I think that the assistance from the Police is sufficient. I don't think we have to ask the High- ways Department or other departments to help.

MOTIONS

1.

THE VICE-CHAIRMAN, URBAN COUNCIL, moved the following motion (in

English):---

*RESOLVED that the audited Statement of Assets and Liabilities and Statement of Receipts and Payments of the Urban Council for the year ended 31 March 1988 be adopted.'

She said (in English):—In accordance with section 36(4)(c) of the Urban Council Ordinance, I move the adoption of the audited Statement of Assets and Liabilities and Statement of Receipts and Payments of the Urban Council for the year ended 31 March 1988.

Members will note that the Director of Audit's Certificate on the Statements is not qualified by any observation on the manner in which the Council's accounts have been kept and rendered. The Department is to be congratulated for their keeping the Council's account in good order.

Also in accordance with section 40(4) of the Urban Council Ordinance, one copy of the certified statements will be forwarded to His Excellency the Governor.

MR. WALTER M. SULKE, CHAIRMAN OF THE FINANCE SELECT COMMITTEE, seconded the motion (in English):—Madam Chairman, in rising to second the motion, I would like to add my congratulations to the department in producing our accounts on time and to the satisfaction of the Council and our auditors.

I am very pleased to report that the financial accounts which showed a surplus of $314 million for the year ended 31 March 1988 have been certified as correct by the Director of Audit. I do not intend to comment on the results as full details were provided to Members in early April this year.

With regard to the current financial year, based on the latest available financial data, a surplus of somewhere around $45 million is expected which if realized would increase the Council's reserves to $769 million as at 31 March 1989, which is approximately 3 months expenditure.

However, members will be aware that heavily staffed venues, such as the Hong Kong Cultural Centre, the new museums, and the many multi-purpose complexes now under construction, will soon come on stream and involve us in high recurring expenses, when it may become necessary to dip into these

reserves.

All the same we can now safely say that the Council's financial position is reasonable secure for the next few years.

Madam Chairman, I have much pleasure in seconding the motion.

The question was put.

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