This is a short two months' Report with the political arena
dominated by news of the selection of the Chief Executive
and to a lesser extent, members of the Provisional Legislative
The Democrats of LegCo understandably responded with barrels
of emotively charged Motion Debates in protest. I took little
part in such political posturing but have concentrated
my efforts in getting Bills properly studied and on the work
of the Public Accounts Committee. These efforts have paid
I attended CICPA's welcome dinner held in honour of the HKSA's
China delegation on 3 November 1996. In anticipation of the
delegation's arrival, I have explained some relevant
background of CICPA/HKSA future international co-operation
to Mr. Lu Ping and Vice-Ministers of both the Ministry of
Finance and the Hong Kong and Macao Office.
As the new Chairman of the Hong Kong Council of Social Services,
I led a top level delegation of representatives from the Non-Government
Organisations Sector on a four-day visit to
China. The delegation was warmly welcomed by senior officials
in Beijing and Wuhan.
II. Committees and Panels
1. Public Accounts Committee (PAC): The PAC met 11 times with
tangible progress and
noticeable publicity. I shall present the PAC Report to LegCo
on 29 January 1997.
2. Financial Affairs Panel:
The Panel held 3 meetings (Agenda attached as Appendix I)
since the last report. No significant business for HKSA.
3. Administration of Justice and Legal Services Panel:
The Panel held 5 meetings since the last report. No significant
business for HKSA.
4. Welfare Services Panel:
The Panel held 3 meetings since the last report. No significant
business for HKSA.
5. Matters relating to the Formation of Parliamentary Friendship
The Group met once since the last report. No significant business
6. Finance Committee and House Committee:
TD of HKSA kept informed of progress on all bills on a weekly
basis. There were 6 meetings of Finance Committee and 8 meetings
of House Committee.
7. Special Transport Panel:
The Panel held 1 more meeting since the last report and the
Government has just announced major costs reduction in KCRC
and a substantially reduced scale of the Western Corridor
Railway. In essence, the Administration has accepted much
responsibility for its previously slack control by taking
many real corrective actions.
III. Bills Committee
1. Evidence (Amendment) Bill 1996:
The Bills Committee decided at its last meeting on 29 October
1996 to ask the Administration to withdraw the Bill and to
introduce the more comprehensive Mutual Legal Assistance Bill
instead. The Administration has now deferred the Second Reading
Debate of the Bill without fixing a date for its resumption.
2. Bankruptcy (Amendment) Bill 1996:
After three more meetings since the last report, the final
version of the amended Bill has incorporated all HKSA's views.
The Bill was passed with full HKSA's blessing on 18 December
3. Companies (Amendment) Bill 1996:
After three more meetings since the last report, again the
final version of the amended Bill has incorporated all HKSA's
views. The Bill was passed with full HKSA's blessing on 18
4. The Orthodox Metropolitanate of Hong Kong and South East
The Private Member's Bill sponsored by me at the request of
the Church was passed without a hitch in record time of only
two weeks on 23 October 1996.
5. Professional Accountants Ordinance:
After some active lobbying, the Bills Committee on subsidiary
legislation very swiftly accepted HKSA's unique situation
of self-regulation and withdrew its originally intended blockage
of giving the Incorporation of Accounting Firms an effective
6. Independent Police Complaints Council Bill:
This Bill which seeks to reorganise the Independent Police
Complaint Committee (IPCC) met twice. I attended because I
am the Vice-Chairman of IPCC.
7. Securities and Futures Commission (Amendment) (No. 3) Bill
This Bill which offers statutory protection for auditors in
reporting fraud was introduced into LegCo on 11 December 1996.
I have assisted HKSA to prepare a submission to LegCo and
in the House Committee meeting on 13 December 1996, it was
decided that a Bills Committee will be formed at the end of
a rather long queue.
IV. Motion Debates
List attached as Appendix II. Speeches on my Web Page and
highlights will be published in my circulars to members.
I have asked 3 written questions and 2 oral questions (Appendix
III) since my last report.
VI. General Political
I have taken part as a member of the Selection Committee to
elect the first Chief Executive of the HKSAR on 11 December
1996. I was also invited to join the Chairmen Team of the
Celebration Committee for the 1997 changeover and later voted
into the Office of Hon. Treasurer and Chairman of its Finance
Committee. I am also running for a seat in the Provisional
Legislature which will be elected in two days' time on 21
It is real activity time and people of Hong Kong are putting
empty talks behind. I have placed myself in 'centre field'
as your representative to keep tap on all the actions that
might eventually affect the practice environment of accountants.
If I am re-elected on 21 December 1996, I hope to be able
to continue my service to the accountancy profession and HKSA
even after 1 July 1997 until the new elected representative
emerges in 1998. I shall appreciate Council's