ENG-2007 — Page 134

94 | Financial and Monetary Affairs

Money Lenders

Under the Money Lenders Ordinance, anyone wishing to carry on business as a money lender must apply to a licensing court for a licence. The ordinance does not apply to Als within the meaning of the Banking Ordinance.

Applications are submitted to the Registrar of Companies as Registrar of Money Lenders. During the year, 756 applications were received. In all, a total of 716 licences were granted or renewed, involving both new applications and outstanding applications brought forward from the previous year. At the end of 2007, there were 741 licensed money lenders.

Bankruptcies, Individual Voluntary Arrangement and Compulsory Winding-up

The Official Receiver's Office ensures that service in personal and corporate insolvencies is of a high quality on a par with international standards, and that the legislation is commensurate with the aim of maintaining Hong Kong's leading position as a major international financial centre.

When acting as the trustee or liquidator, the Official Receiver or a private sector insolvency practitioner investigates the affairs of the bankrupt or the wound-up company, realises its assets and distributes dividends to creditors. The Official Receiver also prosecutes certain offences set out in the Bankruptcy Ordinance and the Companies Ordinances, applies for disqualification orders against unfit company directors of wound-up companies, monitors the conduct of outside liquidators and trustees, and monitors the funds held by liquidators in both compulsory and voluntary liquidations.

During the year, the court issued 11 063 bankruptcy orders, 1 883 interim orders in individual voluntary arrangements and 455 winding-up orders, compared with last year's figures of 10 324, 1 239 and 552. The assets realised by the Official Receiver during 2007 amounted to $159.8 million, while $190.1 million in dividends was paid to creditors in 3 140 insolvency cases.

Professional Accountancy

Hong Kong had 26 848 certified public accountants at year-end. Of these, 3 624 were certified public accountants (practising), who were in public practice and may perform statutory audits. There were 1 172 certified public accountancy firms. (practising) and 229 corporate practices registered at year-end.

The HKICPA operates a largely self-regulatory arrangement under the Professional Accountants Ordinance. The institute is vested under the ordinance with a wide range of responsibilities, such as registering certified public accountants; maintaining financial reporting, auditing and ethical standards for the profession; and conducting training programmes and qualifying examinations.

Since becoming fully operational in July 2007, the FRC had taken over from the HKICPA the investigation of cases concerning audit irregularities and accounting non- compliances relating to listed companies. Following an investigation, the FRC may, in