PLC Paper No. LS 25

Paper for the
House Committee Meeting
of the Provisional Legislative Council on
12 September 1997

Legal Service Division Report on
Subsidiary Legislation Gazetted on 5 September 1997

Date of Tabling in Provisional LegCo	:	10 September 1997
Amendment to be made by	:	8 October 1997 (or 15 October 1997 if extended by resolution)

* Securities and Futures Commission Ordinance (Cap. 24)
Securities and Futures Commission (Fees) (Amendment) Rules 1997 (L.N. 430)

The objectives of the Amendment Rules are :

1. to increase various fees payable under the Securities and Futures Commission (Fees) Rules (Cap. 24 sub. leg.) so as to achieve full cost recovery, the fees being last revised in 1993 and 1994 (sections 2, 3, 4, 5(a) and 6);

2. to consolidate the application fee, authorization fee and the first annual fee for mutual funds and unit trusts into one sum payable on the application for the first authorization (section 5(b) to (g)); and

3. to introduce two new items -
   1. fee payable on application for the purposes of the Financial Resources Rules (Cap. 24 sub. leg.) to approve the extension of the repayment date of a subordinated loan which has been excluded from computations of net tangible assets, ranking liabilities, or adjusted liabilities (section 5(h)); and

   2. fee payable on application under section 26A of the Securities and Futures Commission Ordinance (Cap. 24) for approval to a person being a substantial shareholder in a registered person that is a corporation (section 5(i)).

Members may refer to PLC Brief File Reference SU B3/1(96) IX issued by the Financial Services Bureau on 1 September 1997 for background information, in particular Annex B thereof for a list of the existing and proposed fees. According to the Brief, the Advisory Committee of the Securities and Futures Commission, comprising of representatives of different market sectors, made no adverse comments on the fee proposal. The new fees will come into effect on 16 September 1997.

Banking Ordinance (Cap. 155)
Banking Ordinance (Amendment of Seventh Schedule) Notice 1997 (L.N. 431)

The Notice amends the Seventh Schedule to the Banking Ordinance (Cap. 155) by adding a further requirement to the minimum criteria for authorization. A company incorporated in the HKSAR which proposes to carry on banking business, or a business of taking deposit as a deposit-taking company or as a restricted licence bank is required to satisfy the Monetary Authority that it will maintain adequate capital against fluctuations in the value of foreign exchange, commodities and financial instruments held for trading purposes. This requirement is applicable to existing locally incorporated authorized institutions by virtue of the Eighth Schedule to the Ordinance. The Notice shall take effect on 31 December 1997.

This Notice follows the recommendations in the "Amendment to the Capital Accord to incorporate market risks" made by the Basle Committee on Banking Supervision which will be implemented by the end of this year. Members may refer to the PLC Brief File Reference G4/16C(97)X issued by the Financial Services Bureau in September 1997 for background information. According to the Administration, the Monetary Authority will issue a guideline by notice in the Gazette in September 1997 setting out the scope, coverage and other details of the new requirement.

*Immigration Ordinance (Cap. 115)
Immigration (Amendment) Regulation 1997 (L.N. 432)

*Registration of Persons Ordinance (Cap. 177)
Registration of Persons (Amendment) Regulation 1997 (L.N. 433)

*Marriage Reform Ordinance (Cap. 178)
Marriage Reform (Fees) (Amendment) Regulation 1997 (L.N. 434)

*Births Registration (Special Registers) Ordinance (Cap. 175)
Births Registration (Special Registers) Ordinance (Amendment of Fifth Schedule) Order 1997 (L.N. 435)

*Deaths Registration (Special Registers) Ordinance (Cap. 176)
Deaths Registration (Special Registers) Ordinance (Amendment of Fourth Schedule) Order 1997 (L.N. 436)

*Marriage Ordinance (Cap. 181)
Marriage Ordinance (Amendment of Second Schedule) Order 1997 (L.N. 437)

The three Amendment Regulations and the three Orders are made for the purpose of increasing fees payable to the Immigration Department for services provided so as to achieve full cost recovery. Members may refer to PLC Brief File Reference SBCR 3/3231/66 Pt. 17 issued by the Security Bureau on 3 September 1997 for details. Annex I of the Brief sets out the cost computation and Annex J thereof contains a summary of the existing and proposed fees. The Administration proposes that all six items shall come into operation on 31 October 1997, and the commencement date will be appointed by the Secretary for Security by notice in the Gazette.

L.N. 432 increases the fees payable for the issue or renewal of visas, permits, travel documents such as seamen*s identity books, re-entry permits and documents of identity and for other matters arising under the Immigration Ordinance (Cap. 115). The fees payable for the travel documents were last revised in 1994 and July 1996 while those for visas and permits have been maintained at the existing levels since 1991.

L.N. 433 increases the fees payable under Schedule 2 to the Registration of Persons Regulations (Cap. 177 sub. leg.) for replacement of a lost, destroyed, damaged or defaced identity card, replacement of an identity card requiring alteration and the issue of a certificate or certified copy by a registration officer. The fees were last revised in July 1996.

L.N. 434 increases the fees payable for filing application for registration of marriage, issuing certificate of registration of marriage or certified copy of an entry, issuing certificate of no record of marriage and making searches under the Marriage Reform Ordinance (Cap. 178). The fees were last revised in July 1996.

L.N.s 435 and 436 increase the fees payable for conducting searches, correcting error in any register book and issuing a certified copy of an entry in any register book kept under the Births Registration (Special Registers) Ordinance (Cap. 175) and the Deaths Registration (Special Registers) Ordinance (Cap. 176) respectively. All fees were last revised in July 1996.

L.N. 437 increases the fees payable for the filing and exhibition of notices of marriage, the issue of certificates or certified copies, the searching of any entry and the celebration of marriages by the Registrar of Marriages under the Marriage Ordinance (Cap. 181). The fees were last revised in July 1996.

*Trade Marks Ordinance (Cap. 43)
Trade Marks (Amendment) Rules 1997 (L.N. 438)

The Amendment Rules increase the fees payable under the Trade Marks Rules (Cap. 43 sub. leg.) in connection with the registration, search and opposition to registration of trade marks, the maintenance and alteration of records. Members may refer to PLC Brief File Reference TIB CR 80/39/1 IV issued by the Trade and Industry Bureau on 3 September 1997 for background information. Annex B of the Brief sets out the cost computation and Annex C contains a table comparing the original and revised fees. The Administration aims to achieve full cost recovery. The Intellectual Property Sub-committee of the Law Society raised no objection to the fee proposal. The fees were last revised in November 1994 and the proposed fees will take effect on 17 October 1997.

Child Abduction and Custody Ordinance
Child Abduction and Custody Ordinance (49 of 1997) (Commencement) Notice 1997 (L.N. 439)

By this Notice, the Secretary for Justice appoints 5 September 1997 as the day on which the Child Abduction and Custody Ordinance (49 of 1997) shall come into operation.

The Ordinance implements the Hague Convention on the Civil Aspects of International Child Abduction in the HKSAR to secure the prompt return of children wrongfully removed to or retained in any Contracting State, and to ensure that the rights of custody and of access under the law of the HKSAR are effectively respected in other Contracting States.

Building (Planning) (Amendment) Regulation 1997
Building (Planning) (Amendment) Regulation 1997 (L.N. 239 of 1997) (Commencement) Notice 1997 (L.N. 440)

By this Notice, the Secretary for Planning, Environment and Lands appoints 20 September 1997 as the day on which the Building (Planning) (Amendment) Regulation 1997 (L.N. 239 of 1997) shall come into operation.

The Amendment Regulation modifies the existing requirements governing the provision of facilities in certain buildings to allow access to and use of such buildings and their facilities by persons with a disability.

Prepared by

Wong Sze-man, Bernice
Assistant Legal Adviser
Provisional Legislative Council Secretariat
9 September 1997

* denotes fee increase