PLC Paper No. CB(3)631


Ref. : CB(3)/C/3

Paper for the House Committee meeting on 20 February 1998
Committee ' s Members' Interests

Purpose of the Paper

This paper outlines the work, deliberations and decisions of the Committee ' s Members' Interests (the Committee) since its report to the Provisional Legislative Council on 14 June 1997, and invites views from Members' these decisions.

Background

2. On 14 June 1997, Hon Mrs Miriam LAU, Chairman of the Committee presented the Committee ' smittee's report (PLC Paper No. 408/96-97 dated 11 June 1997 refers) to the Council, which contained:

  1. the " Guidelines on Registration of Interests " (the Guidelines);

  2. the revised Registration Form endorsed by the Committee and approved by the President;

  3. the "Advisory Guidelines on Matters of Ethics in relation to the Conduct of Members' the Provisional Legislative Council of the Hong Kong Special Administrative Region in their capacity as such " (the Advisory Guidelines); and

  4. three issues identified for further review, namely,

    1. whether the term "political organization" in Item III(7) of the Guidelines should be clearly defined in order to avoid ambiguity (Item III(7) of the Guidelines is at Appendix 1);

    2. whether land and property owned by a Member in the capacity of a nominee should be registered (Category 7 of the Registration Form is at Appendix 2); and

    3. whether " District Office Allowance " as referred to in Item II(7) of the Advisory Guidelines should be retained (Item II(7) of the Advisory Guidelines is at Appendix 3).

Deliberations and decisions of the Committee ' smittee since reporting to the Council on 14 June 1997

3.The Committee ' sttee has since deliberated on the three identified issues. Its decisions are summarized below for Members' information.

Definition of "political organization"

4. The Committee considers that the term "political body" as interpreted in the Societies Ordinance can be adopted for the purpose of interpreting the term "political organization" in Item III(7) of the Guidelines. A footnote could be added to the Item to that effect. In addition, the Committee ' see takes the view that a Member should be required to register particulars of any cash subsidy of HK$5,000 or above received each month from his political organization. Item III(7) of the Guidelines is therefore amended and the marked-up copy of the revision is at Appendix 4 for Members' reference.

Registration of land or property owned by a Member as a nominee

5. In further pursuance of the decision of the Committee that, for the sake of enhancing transparency, Members'should supply general information on the land or property which they owned, the Committee ' see takes the view that Members':

  1. where an income is derived from the only or principal residence in Hong Kong which he owns and ordinarily lives in, register the general information of such property; and

  2. register the general information of any land or property which he owns indirectly, such as through a company in which he has control or has more than 50% shares, or through a third person.

6. Category 7 of the Registration Form is amended accordingly. The marked-up copy of the revision is at Appendix 5. The President*s approval for use of the revised form will be sought as appropriate.

Retention of the reference to "District Office Allowance"

7.The Committee considers that since Members' begun receiving District Office Allowance since 1 July 1997, the reference can be retained in the Advisory Guidelines.

Implementation date of the recommended changes

8. The Committee ' see takes the view that since Members' of the Provisional Legislative Council is to lapse on 1 July 1998, the revised Guidelines and Registration Form could be recommended to the first Legislative Council of the Hong Kong Special Administrative Region and its President for adoption.

Views sought

9. Members' invited to comment on the decisions of the Committee.


Provisional Legislative Council Secretariat
10 February 1998



Appendix 1

Item III(7) of "Guidelines on Registration of Interests"

(7) The requirement of Rule 83(5)(d) is that Members' their acceptance of financial sponsorships as defined in the Rules of Procedure. Regarding the scope of "financial sponsorships", there is the question of whether sponsorships received from a Member's political organization should be regarded as an indirect benefit and therefore registrable. The Committee considers that since details of donations to political organizations are not necessarily available to their individual Members' it would suffice if a Member merely registers such interests directly received from his political organization. Whether or not the acceptance of a particular financial sponsorship is in contravention of the provisions of the Prevention of Bribery Ordinance is a matter for the Member to decide for himself having regard to his own knowledge of the circumstances.


Appendix 3

Item II(7) of the "Advisory Guidelines on Matters of Ethics in relation to the Conduct of Members' the PLC of the HKSAR in their capacity as such"

(7) A Member should not use any part of his Operating Expenses Reimbursement or District Office Allowance for purposes other than those in connection with the business of the Council.


Appendix 4

Item III(7) of "Guidelines on Registration of Interests"

(7) The requirement of Rule 83(5)(d) is that Members' their acceptance of financial sponsorships as defined in the Rules of Procedure. Regarding the scope of "financial sponsorships", there is the question of whether sponsorships received from a Member's political organization (see Note for the definition of "political organization") should be regarded as an indirect benefit and therefore registrable. The Committee considers that since details of donations to political organizations are not necessarily available to their individual Members' it would suffice if a Member merely registers such interests directly received from his political organization. Such registrable interests include cash subsidy of HK$5000 or above each month. Whether or not the acceptance of a particular financial sponsorship is in contravention of the provisions of the Prevention of Bribery Ordinance is a matter for the Member to decide for himself having regard to his own knowledge of the circumstances.

Note: According to the Societies Ordinance (Cap 151), "political body" means -

  1. a political party or an organization that purports to be a political party; or

  2. an organization whose principal function or main object is to promote or prepare a candidate for an election.