LC Paper No. CB(3) 1980/98-99

LEGISLATIVE COUNCIL

MINUTES
No. 44
___________
Minutes of the meeting held on Wednesday 7 July 1999 at 2:30 pm,
Thursday 8 July 1999 at 2:30 pm and Friday 9 July 1999 at 9:00 am
___________

Members present:

President
The Hon Mrs Rita FAN, GBS, JP
The Hon Kenneth TING Woo-shou, JP
The Hon James TIEN Pei-chun, JP
The Hon David CHU Yu-lin
The Hon HO Sai-chu, SBS, JP
The Hon Cyd HO Sau-lan
The Hon Edward HO Sing-tin, SBS, JP
The Hon Albert HO Chun-yan
The Hon Michael HO Mun-ka
Ir Dr the Hon Raymond HO Chung-tai, JP
The Hon LEE Wing-tat
The Hon LEE Cheuk-yan
The Hon Martin LEE Chu-ming, SC, JP
The Hon Eric LI Ka-cheung, JP
The Hon LEE Kai-ming, SBS, JP
Dr the Hon David LI Kwok-po, JP (absent on 8.7.1999 and 9.7.1999)
The Hon Fred LI Wah-ming, JP
Dr the Hon LUI Ming-wah, JP
The Hon NG Leung-sing
Prof the Hon NG Ching-fai
The Hon Margaret NG
The Hon Mrs Selina CHOW LIANG Shuk-yee, JP
The Hon Ronald ARCULLI, JP
The Hon MA Fung-kwok
The Hon James TO Kun-sun
The Hon CHEUNG Man-kwong
The Hon Ambrose CHEUNG Wing-sum, JP
The Hon HUI Cheung-ching
The Hon Christine LOH
The Hon CHAN Kwok-keung
The Hon CHAN Yuen-han
The Hon Bernard CHAN
The Hon CHAN Wing-chan
The Hon CHAN Kam-lam
Dr the Hon LEONG Che-hung, JP (absent on 9.7.1999)
The Hon Mrs Sophie LEUNG LAU Yau-fun, JP
The Hon LEUNG Yiu-chung
The Hon Gary CHENG Kai-nam, JP (absent on 9.7.1999)
The Hon SIN Chung-kai
The Hon Andrew WONG Wang-fat, JP
Dr the Hon Philip WONG Yu-hong
The Hon WONG Yung-kan
The Hon Jasper TSANG Yok-sing, JP
The Hon Howard YOUNG, JP
Dr the Hon YEUNG Sum
The Hon YEUNG Yiu-chung
The Hon LAU Chin-shek, JP
The Hon LAU Kong-wah
The Hon LAU Wong-fat, GBS, JP   (absent on 9.7.1999)
The Hon Mrs Miriam LAU Kin-yee, JP
The Hon Ambrose LAU Hon-chuen, JP
The Hon Emily LAU Wai-hing, JP
The Hon CHOY So-yuk
The Hon Andrew CHENG Kar-foo
The Hon SZETO Wah
The Hon Timothy FOK Tsun-ting, SBS, JP (absent on 9.7.1999)
The Hon LAW Chi-kwong, JP
The Hon TAM Yiu-chung, GBS, JP
The Hon FUNG Chi-kin
Dr the Hon TANG Siu-tong, JP

Public officers attending:

On 7.7.1999, 8.7.1999 and 9.7.1999

The Honourable Mrs Anson CHAN, GBM, JP
The Chief Secretary for Administration

Mr CHAU Tak-hay, JP
Secretary for Trade and Industry

On 7.7.1999 and 8.7.1999 only

Mr Nicholas NG Wing-fui, JP
Secretary for Transport

Mr Joseph WONG Wing-ping, GBS, JP
Secretary for Education and Manpower

Miss Denise YUE Chung-yee, JP
Secretary for the Treasury

Mrs Rebecca LAI KO Wing-yee, JP
Secretary for Financial Services

On 7.7.1999 only

Mr Rafael HUI Si-yan, GBS, JP
The Financial Secretary

The Honourable Elsie LEUNG Oi-sie, JP
The Secretary for Justice

Mr Gordon SIU Kwing-chue, JP
Secretary for Planning, Environment and Lands

Mrs Katherine FOK LO Shiu-ching, GBS, JP
Secretary for Health and Welfare

Mr Stephen IP Shu-kwan, JP
Secretary for Economic Services

Mr Benedict KWONG Hon-sang, GBS, JP
Secretary for Works

Mr Leo KWAN Wing-wah, JP
Secretary for Home Affairs

Mr LEUNG Chin-man, JP
Secretary for Housing
Clerks in attendance:
On 7.7.1999 and 9.7.1999

Mr Ricky FUNG Choi-cheung, JP,
Secretary General

On 7.7.1999, 8.7.1999 and 9.7.1999

Mr Ray CHAN Yum-mou,
Assistant Secretary General (3)

On 7.7.1999

Mrs Justina LAM CHENG Bo-ling,
Assistant Secretary General (2)

On 8.7.1999

Mr LAW Kam-sang, JP,
Deputy Secretary General

Ms Pauline NG Man-wah,
Assistant Secretary General (1)
Papers

The following papers were laid on the table pursuant to Rule 21(2) of the Rules of Procedure:

Subsidiary LegislationL.N. No.
1. Human Organ Transplant (Amendment) (No. 2) Regulation 1999168/99
2. Human Organ Transplant (Amendment) Ordinance 1999 (7 of 1999) (Commencement) Notice 1999169/99
3. Public Health and Municipal Services Ordinance (Public Pleasure Grounds) (Amendment of Fourth Schedule) (No. 5) Order 1999170/99
4. Trainee Solicitors (Amendment) Rules 1999171/99
5. Administration of Justice (Miscellaneous Provisions) Ordinance 1999 (21 of 1999) (Commencement) Notice 1999172/99

Sessional Papers

No. 134 -Provisional Regional CouncilRevised Estimates of Expenditure 1998/99
No. 135 -Revised list of works of the Provisional Regional Council for the 1998/99 financial year (during the fourth quarter ended 31 March 1999)
No. 136 -Revised list of works of the Provisional Urban Council for the 1998/99 financial year (during the fourth quarter ended 31 March 1999)
No. 137 -Schedule of revisions to the 1998/99 Estimates approved by the Provisional Urban Council during the fourth quarter of the 1998/99 financial year
No. 138 -Report of the Independent Police Complaints Council 1998
No. 139 -Sir David Trench Fund for Recreation Trustee's Report 1998-99
No. 140 -The Eleventh Annual Report of the Ombudsman, Hong Kong (June 1999)
No. 141 -Report of the Public Accounts Committee on Report No. 32 of the Director of Audit on the Results of Value for Money Audits and Supplemental Reports on Report Nos. 30 and 31 of the Director of Audit on the Results of Value for Money Audits(July 1999 - P.A.C. Report No. 32)

Addresses

Dr Hon LEONG Che-hung addressed the Council on the Report of the Independent Police Complaints Council 1998.

Hon Eric LI, Chairman of the Public Accounts Committee, addressed the Council on the Committee's Report on Report No. 32 of the Director of Audit on the Results of Value for Money Audits and the Committee's Supplemental Reports on Report Nos. 30 and 31 of the Director of Audit on the Results of Value for Money Audits.

Reports

1. Hon LEE Kai-ming, Chairman of the Panel on Manpower, presented the Panel's report 1998/99 and addressed the Council.

2. Hon TAM Yiu-chung, Chairman of the Panel on Public Service, presented the Panel's report 1998/99 and addressed the Council.

3. Hon Margaret NG, Chairman of the Panel on Administration of Justice and Legal Services, presented the Panel's report 1998/99 and addressed the Council.

4. Hon CHOY So-yuk, Chairman of the Panel on Home Affairs, presented the Panel's report 1998/99 and addressed the Council.

5. Hon Mrs Miriam LAU, Chairman of the Panel on Transport, presented the Panel's report 1998/99 and addressed the Council.

6. Hon Andrew WONG, Chairman of the Panel on Constitutional Affairs, presented the Panel's report 1998/99 and addressed the Council.

7. Hon Edward HO, Chairman of the Panel on Planning, Lands and Works, presented the Panel's report 1998/99 and addressed the Council.

8. Hon CHAN Yuen-han, Chairman of the Panel on Welfare Services, presented the Panel's report 1998/99 and addressed the Council.

9. Hon SIN Chung-kai, Chairman of the Panel on Information Technology and Broadcasting, presented the Panel's report 1998/99 and addressed the Council.

10. Hon James TIEN, Chairman of the Panel on Economic Services, presented the Panel's report 1998/99 and addressed the Council.

11. Hon Michael HO, Chairman of the Panel on Health Services, presented the Panel's report 1998/99 and addressed the Council.

12. Report of the Bills Committee on Adaptation of Laws (No.12) Bill 1998

13. Report of the Bills Committee on Theft (Amendment) Bill 1998

14. Report of the Bills Committee on Merchant Shipping (Local Vessels) Bill

15. Report of the Bills Committee on Revenue Bill 1999

Questions

1. Dr Hon LEONG Che-hung asked Question 1.

The Secretary for Planning, Environment and Lands replied.

Six Members asked supplementaries. The Secretary for Planning, Environment and Lands, the Secretary for Health and Welfare and the Secretary for Works replied.

2. Dr Hon YEUNG Sum asked Question 2.

The Secretary for Planning, Environment and Lands replied.

Six Members asked supplementaries and the Secretary for Planning, Environment and Lands replied.

3. Hon LEE Cheuk-yan asked Question 3.

The Secretary for Economic Services replied.

Five Members asked supplementaries and the Secretary for Economic Services replied.

4. Hon Albert HO asked Question 4.

The Secretary for Home Affairs replied.

Four Members asked supplementaries and the Secretary for Home Affairs replied.

5. Hon Kenneth TING asked Question 5.

The Secretary for Education and Manpower replied.

Six Members asked supplementaries and the Secretary for Education and Manpower replied.

6. Hon Emily LAU asked Question 6.

The Secretary for Planning, Environment and Lands replied.

Five Members asked supplementaries and the Secretary for Planning, Environment and Lands replied.

Written replies to Questions 7 to 20 were tabled for Members' information.

Bills

First Reading

Evidence (Amendment) Bill 1999
Arbitration (Amendment) Bill 1999
Housing Managers Registration Bill
Adaptation of Laws (No.19) Bill 1999
Hong Kong Arts Development Council (Amendment) Bill 1999
Hong Kong Sports Development Board (Amendment) Bill 1999

The Bills were read the first time and ordered to be set down for Second Reading pursuant to Rule 53(3) of the Rules of Procedure.

Second Reading
Evidence (Amendment) Bill 1999

The Secretary for Justice moved the Second Reading and addressed the Council.

At 5:30 pm, the President's Deputy took the chair during the temporary absence of the President.

Question on the Second Reading proposed. The President's Deputy stated that in accordance with Rule 54(4) of the Rules of Procedure, the debate was adjourned and the Bill was referred to the House Committee.

Arbitration (Amendment) Bill 1999

The Secretary for Justice moved the Second Reading and addressed the Council.

Question on the Second Reading proposed. The President's Deputy stated that in accordance with Rule 54(4) of the Rules of Procedure, the debate was adjourned and the Bill was referred to the House Committee.

Housing Managers Registration Bill

The Secretary for Housing moved the Second Reading and addressed the Council.

At 5:36 pm, the President resumed the chair.

Question on the Second Reading proposed. The President stated that in accordance with Rule 54(4) of the Rules of Procedure, the debate was adjourned and the Bill was referred to the House Committee.

Adaptation of Laws (No.19) Bill 1999

The Secretary for Education and Manpower moved the Second Reading and addressed the Council.

Question on the Second Reading proposed. The President stated that in accordance with Rule 54(4) of the Rules of Procedure, the debate was adjourned and the Bill was referred to the House Committee.

Hong Kong Arts Development Council (Amendment) Bill 1999
Hong Kong Sports Development Board (Amendment) Bill 1999

The Secretary for Home Affairs moved the Second Reading and addressed the Council on each of the above two Bills.

Question on the Second Reading proposed. The President stated that in accordance with Rule 54(4) of the Rules of Procedure, the debates on the above Bills were adjourned and the Bills were referred to the House Committee.

Adaptation of Laws (No.12) Bill 1998

Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 6 January 1999 resumed.

Hon Margaret NG, Chairman of the Bills Committee on Adaptation of Laws (No.12) Bill 1998, addressed the Council on the Report of the Bills Committee on the Bill.

The Secretary for Justice replied.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

Committee Stage

The Council went into Committee and considered the Adaptation of Laws (No.12) Bill 1998.

Question that clauses 1, 2 and 3 stand part of the Bill proposed, put and agreed to.

Question that schedules 1, 3 to 7 stand part of the Bill proposed, put and agreed to.

Question that schedule 2 stand part of the Bill proposed.

The Secretary for Justice moved amendments to schedule 2.

Question on the amendments put and agreed to.

Question that schedule 2, as amended, stand part of the Bill proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for Justice reported that

    the Adaptation of Laws (No.12) Bill 1998
had passed through Committee with amendments. She moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Theft (Amendment) Bill 1998
Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 2 December 1998 resumed.

Hon Mrs Miriam LAU, Chairman of the Bills Committee on Theft (Amendment) Bill 1998, addressed the Council on the Report of the Bills Committee on the Bill.

The Secretary for Justice replied.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

Committee Stage

The Council went into Committee and considered the Theft (Amendment) Bill 1998.

Question that clauses 1, 2 and 4 to 11 stand part of the Bill proposed, put and agreed to.

Question that clause 3 stand part of the Bill proposed.

The Secretary for Justice moved amendments to clause 3 and addressed the Committee.

A Member spoke on the amendments.

Question on the amendments put and agreed to.

Hon Mrs Miriam LAU moved a further amendment to clause 3 and addressed the Committee.

Three Members and the Secretary for Justice spoke on the amendment.

Hon Mrs Miriam LAU replied.

Question on the amendment put and agreed to.

Question that clause 3, as amended, stand part of the Bill proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for Justice reported that

    the Theft (Amendment) Bill 1998
had passed through Committee with amendments. She moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Adaptation of Laws (No.8) Bill 1998
Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 18 November 1998 resumed.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

Committee Stage

The Council went into Committee and considered the Adaptation of Laws (No.8) Bill 1998.

Question that clauses 1, 2 and 3 stand part of the Bill proposed, put and agreed to.

Question that schedules 1 and 2 stand part of the Bill proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for Planning, Environment and Lands reported that

    the Adaptation of Laws (No.8) Bill 1998
had passed through Committee without amendment. He moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Adaptation of Laws Bill 1999
Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 27 January 1999 resumed.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

Committee Stage

The Council went into Committee and considered the Adaptation of Laws Bill 1999.

Question that clauses 1, 2 and 3 stand part of the Bill proposed, put and agreed to.

Question that schedule 14 stand part of the Bill proposed, put and agreed to.

Question that schedules 1 to 13, 15, 16 and 17 stand part of the Bill proposed.

The Secretary for Health and Welfare moved amendments to schedules 1 to 13, 15, 16 and 17 and addressed the Committee.

Question on the amendments put and agreed to.

Question that schedules 1 to 13, 15, 16 and 17, as amended, stand part of the Bill proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for Health and Welfare reported that

    the Adaptation of Laws Bill 1999
had passed through Committee with amendments. She moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Hong Kong War Memorial Pensions (Amendment) Bill 1999
Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 21 April 1999 resumed.

Two Members spoke on the Bill.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

Committee Stage

The Council went into Committee and considered the Hong Kong War Memorial Pensions (Amendment) Bill 1999.

Question that clauses 1, 3, 4 and 5 stand part of the Bill proposed, put and agreed to.

Question that clause 2 stand part of the Bill proposed.

The Secretary for Health and Welfare moved amendments to clause 2 and addressed the Committee.

Question on the amendments put and agreed to.

Question that clause 2, as amended, stand part of the Bill proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for Health and Welfare reported that

    the Hong Kong War Memorial Pensions (Amendment) Bill 1999
had passed through Committee with amendments. She moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Banking (Amendment) Bill 1999
Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 26 May 1999 resumed.

A Member spoke on the Bill.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

Committee Stage

The Council went into Committee and considered the Banking (Amendment) Bill 1999.

Question that clauses 1, 2, 3, 5 to 9, 11, 12, 13, 15, 16 and 18 stand part of the Bill proposed, put and agreed to.

Question that clause 4 stand part of the Bill proposed.

The Secretary for Financial Services moved the deletion of clause 4 and addressed the Committee.

Question on the motion put and agreed to.

The Chairman stated that as the motion to delete clause 4 had been agreed, clause 4 was therefore deleted from the Bill.

The President ordered the Council to resume and granted leave for the Secretary for Financial Services to move a motion under Rule 91 of the Rules of Procedure that Rule 58(5) of the Rules of Procedure be suspended to enable the Committee of the whole Council to consider the proposed new clause 11A ahead of the remaining clauses of the Bill.

Question on the motion proposed, put and agreed to.

The Council went into Committee again.

New clause 11A read the first time.

The Secretary for Financial Services moved the Second Reading of new clause 11A and addressed the Committee.

Question on the Second Reading of new clause 11A proposed, put and agreed to.

New clause 11A read the second time.

The Secretary for Financial Services moved the addition of new clause 11A to the Bill.

Question on the addition proposed, put and agreed to.

Question that clauses 10, 14 and 17 stand part of the Bill proposed.

The Secretary for Financial Services moved amendments to clauses 10, 14 and 17 and addressed the Committee.

Question on the amendments put and agreed to.

Question that clauses 10, 14 and 17, as amended, stand part of the Bill proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for Financial Services reported that

    the Banking (Amendment) Bill 1999
had passed through Committee with amendments. She moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Merchant Shipping (Local Vessels) Bill
Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 31 March 1999 resumed.

Hon CHAN Kam-lam, Chairman of the Bills Committee on Merchant Shipping (Local Vessels) Bill, addressed the Council on the Report of the Bills Committee on the Bill.

A Member spoke on the Bill.

The Secretary for Economic Services replied.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

Committee Stage

The Council went into Committee and considered the Merchant Shipping (Local Vessels) Bill.

Question that clauses 1, 3, 5, 7, 9, 11 to 20, 22 to 26, 28 to 39, 41 to 47, 49, 50, 53 to 59, 61 to 69, 71 to 76, 78 to 84, 87, 88, 89 and 91 stand part of the Bill proposed, put and agreed to.

Question that clauses 2, 4, 6, 8, 10, 21, 27, 40, 48 and 51, heading to part X, clauses 52, 60, 70, 77, 85, 86 and 90 stand part of the Bill proposed.

The Secretary for Economic Services moved amendments to clauses 2, 4, 6, 8, 10, 21, 27, 40, 48 and 51, heading to part X, clauses 52, 60, 70, 77, 85, 86 and 90 and addressed the Committee.

Question on the amendments put and agreed to.

Question that clauses 2, 4, 6, 8, 10, 21, 27, 40, 48 and 51, heading to part X, clauses 52, 60, 70, 77, 85, 86 and 90, as amended, stand part of the Bill proposed, put and agreed to.

Question that the schedule stand part of the Bill proposed.

The Secretary for Economic Services moved amendments to the schedule.

Question on the amendments put and agreed to.

Question that the schedule, as amended, stand part of the Bill proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for Economic Services reported that

    the Merchant Shipping (Local Vessels) Bill
had passed through Committee with amendments. He moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Import and Export (Amendment) Bill 1999
Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 16 June 1999 resumed.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

Committee Stage

The Council went into Committee and considered the Import and Export (Amendment) Bill 1999.

Question that clauses 1 to 8 stand part of the Bill proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for Trade and Industry reported that

    the Import and Export (Amendment) Bill 1999
had passed through Committee without amendment. He moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Protection of Non-Government Certificates of Origin (Amendment) Bill 1999
Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 16 June 1999 resumed.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

Committee Stage

The Council went into Committee and considered the Protection of Non-Government Certificates of Origin (Amendment) Bill 1999.

Question that clauses 1 to 9 stand part of the Bill proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for Trade and Industry reported that

    the Protection of Non-Government Certificates of Origin (Amendment) Bill 1999
had passed through Committee without amendment. He moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Revenue Bill 1999
Resumption of Second Reading debate

The debate on the Second Reading which had been moved on 21 April 1999 resumed.

Hon Margaret NG, Chairman of the Bills Committee on Revenue Bill 1999, addressed the Council on the Report of the Bills Committee on the Bill.

A Member spoke on the Bill.

At 7:35 pm, the President's Deputy took the chair during the temporary absence of the President.

Seven other Members spoke on the Bill.

At 8:10 pm, the President resumed the chair.

A further eight Members spoke on the Bill.

The Secretary for the Treasury replied.

Question on the Second Reading put and agreed to.

Bill read the second time and committed to a Committee of the whole Council.

The President suspended the meeting at 9:48 pm.

* * * * * *

The Council resumed at 2:30 pm on 8 July 1999.

Committee Stage

The Council went into Committee and considered the Revenue Bill 1999.

Question that clauses 1, 3 to 15, 17, 19, 20, 22, 26 to 36, 38 to 42 and 44 to 48 stand part of the Bill proposed, put and agreed to.

Question that clauses 16 and 18 stand part of the Bill proposed.

The Secretary for the Treasury moved amendments to clauses 16 and 18 and addressed the Committee.

Question on the amendments put and agreed to.

Question that clauses 16 and 18, as amended, stand part of the Bill proposed, put and agreed to.

Question that clause 21 stand part of the Bill proposed.

Hon Ronald ARCULLI moved amendments to clause 21 and addressed the Committee.

Five Members and the Secretary for the Treasury spoke on the amendments.

Hon Ronald ARCULLI replied.

A Member and the Secretary for the Treasury spoke again on the amendments.

Question on the amendments put.

Hon Ronald ARCULLI claimed a division. The Chairman then ordered the Committee to divide under Rule 47(1) of the Rules of Procedure.

The Chairman announced that among the Members returned by functional constituencies, 27 were present, 15 were in favour of the amendments and 12 against them; while among the Members returned by geographical constituencies through direct elections and by the Election Committee, 29 were present, four were in favour of the amendments and 24 against them. (Voting record in Appendix I.) Since the question was not agreed by a majority of each of the two groups of Members present, she declared that the amendments were negatived.

Question that clause 21 stand part of the Bill put and agreed to.

Dr Hon LEONG Che-hung rose to move the following motion without notice:

That in the event of further divisions being claimed in respect of the remaining motions to be moved at the Committee Stage of the Revenue Bill 1999 at this meeting, Rule 47(1)(c) of the Rules of Procedure be suspended so that the Chairman may order that the Committee do proceed to each of such divisions immediately after the division bell has been rung for one minute.

Question on the motion proposed, put and agreed to.

Question that the heading before clause 23, clause 23, the heading before clause 24 and clause 24 stand part of the Bill proposed.

The Secretary for the Treasury moved the deletion of the heading before clause 23, clause 23, the heading before clause 24 and clause 24 and addressed the Committee.

Question on the motion put and agreed to.

The Chairman stated that as the motion to delete the heading before clause 23, clause 23, the heading before clause 24 and clause 24 had been agreed, the heading before clause 23, clause 23, the heading before clause 24 and clause 24 were therefore deleted from the Bill.

Question that clause 25 stand part of the Bill proposed.

The Chairman stated that the Secretary for the Treasury and Hon Christine LOH had separately given notice to move amendments to clause 25. She ordered that the proposed amendments be debated together in a joint debate.

The Chairman invited the Secretary for the Treasury to move her amendments.

The Secretary for the Treasury moved amendments to clause 25 and addressed the Committee.

The Chairman invited Hon Christine LOH to speak on the Secretary for the Treasury's amendments as well as her own proposed amendments.

Hon Christine LOH spoke on the Secretary for the Treasury's amendments and her own proposed amendments.

15 Members spoke on the amendments and the proposed amendments.

Hon Christine LOH spoke again on the amendments and her own proposed amendments.

The Secretary for the Treasury replied.

Question on the amendments moved by the Secretary for the Treasury put.

Hon Christine LOH claimed a division. The Chairman then ordered the Committee to divide under Rule 49(5) of the Rules of Procedure.

The Chairman announced that 55 Members were present, 47 were in favour of the amendments and seven against them. (Voting record in Appendix II.) Since the question was agreed by a majority of the Members present, she declared that the amendments were agreed.

The Chairman suspended the meeting at 4:44 pm.

The Committee resumed at 4:49 pm.

The Chairman stated that as the amendments to clause 25, which dealt with deletion, had been agreed, clause 25 would therefore be deleted from the Bill and Hon Christine LOH might not move her amendments as they were inconsistent with the decision already taken by the Committee.

Question that clause 37 stand part of the Bill proposed.

Question that clause 37(b) stand part of the Bill put and agreed to.

The Chairman stated that Hon Andrew CHENG and Hon CHAN Kam-lam had separately given notice to move amendments to clause 37(d). She ordered that the amendments be debated together in a joint debate.

The Chairman invited Hon Andrew CHENG to move his amendments.

Hon Andrew CHENG moved amendments to clause 37(d) and addressed the Committee.

The Chairman invited Hon CHAN Kam-lam to speak on Hon Andrew CHENG's amendments as well as his own proposed amendments.

Hon CHAN Kam-lam spoke on the amendments and his own proposed amendments.

10 Members spoke on the amendments and the proposed amendments.

Hon CHAN Kam-lam spoke on the amendments and his own proposed amendments a second time.

The Secretary for the Treasury, three other Members and a Member who had spoken on the amendments spoke on the amendments and the proposed amendments.

Hon CHAN Kam-lam spoke again on the amendments and his own proposed amendments.

Two other Members and a Member who had spoken on the amendments spoke on the amendments and the proposed amendments.

Hon Andrew CHENG replied.

Another Member and a Member who had spoken on the amendments spoke on the amendments and the proposed amendments.

Question on the amendments to clause 37(d) moved by Hon Andrew CHENG put.

Hon Andrew CHENG claimed a division. The Chairman then ordered the Committee to divide under Rule 49(5) of the Rules of Procedure.

The Chairman announced that among the Members returned by functional constituencies, 28 were present, seven were in favour of the amendments and 21 against them; while among the Members returned by geographical constituencies through direct elections and by the Election Committee, 30 were present, 11 were in favour of the amendments and 18 against them. (Voting record in Appendix III.) Since the question was not agreed by a majority of each of the two groups of Members present, she declared that the amendments were negatived.

Hon CHAN Kam-lam moved amendments to clause 37(d).

Question on the amendments to clause 37(d) moved by Hon CHAN Kam-lam put.

Hon CHAN Kam-lam claimed a division. The Chairman then ordered the Committee to divide under Rule 49(5) of the Rules of Procedure.

The Chairman announced that among the Members returned by functional constituencies, 28 were present, eight were in favour of the amendments and 20 against them; while among the Members returned by geographical constituencies through direct elections and by the Election Committee, 30 were present, 20 were in favour of the amendments and nine against them. (Voting record in Appendix IV.) Since the question was not agreed by a majority of each of the two groups of Members present, she declared that the amendments were negatived.

Question that clause 37(d) stand part of the Bill put.

Hon Albert HO claimed a division. The Chairman then ordered the Committee to divide under Rule 49(5) of the Rules of Procedure.

The Chairman announced that 58 Members were present, 31 were in favour of the motion and 26 against it. (Voting record in Appendix V.) Since the question was agreed by a majority of the Members present, she declared that the motion was carried.

Question that clause 37 stand part of the Bill put.

Hon Ronald ARCULLI claimed a division. The Chairman then ordered the Committee to divide under Rule 49(5) of the Rules of Procedure.

The Chairman announced that 58 Members were present, 31 were in favour of the motion and 26 against it. (Voting record in Appendix VI.) Since the question was agreed by a majority of the Members present, she declared that the motion was carried.

Question that clause 2 stand part of the Bill proposed.

The Secretary for the Treasury moved an amendment to clause 2 and addressed the Committee.

Question on the amendment put and agreed to.

Question that clause 2, as amended, stand part of the Bill proposed, put and agreed to.

Question that clause 43 stand part of the Bill proposed.

The Chairman stated that both Hon CHAN Kam-lam and Hon Andrew CHENG had separately given notice to move amendments to clause 43. She ordered that the amendments be debated together in a joint debate.

The Chairman invited Hon CHAN Kam-lam to move his amendment.

Hon CHAN Kam-lam moved an amendment to clause 43 and addressed the Committee.

The Chairman invited Hon Andrew CHENG to speak on Hon CHAN Kam-lam's amendment as well as his own proposed amendments.

Hon Andrew CHENG spoke on the amendment and his own proposed amendments.

A Member and the Secretary for the Treasury spoke on the amendment and the proposed amendments.

Hon Andrew CHENG spoke on the amendment and his own proposed amendments a second time.

Hon CHAN Kam-lam replied.

Another Member spoke on the amendment and the proposed amendments.

Question on the amendment to clause 43 moved by Hon CHAN Kam-lam put.

Hon TAM Yiu-chung claimed a division. The Chairman then ordered the Committee to divide under Rule 49(5) of the Rules of Procedure.

The Chairman announced that among the Members returned by functional constituencies, 24 were present, nine were in favour of the amendment and 15 against it; while among the Members returned by geographical constituencies through direct elections and by the Election Committee, 29 were present, 19 were in favour of the amendment and nine against it. (Voting record in Appendix VII.) Since the question was not agreed by a majority of each of the two groups of Members present, she declared that the amendment was negatived.

Hon Andrew CHENG moved amendments to clause 43.

Question on the amendments to clause 43 moved by Hon Andrew CHENG put.

Hon Andrew CHENG claimed a division. The Chairman then ordered the Committee to divide under Rule 49(5) of the Rules of Procedure.

The Chairman announced that among the Members returned by functional constituencies, 25 were present, seven were in favour of the amendments and 18 against them; while among the Members returned by geographical constituencies through direct elections and by the Election Committee, 29 were present, 11 were in favour of the amendments, 16 against them and one abstained. (Voting record in Appendix VIII.) Since the question was not agreed by a majority of each of the two groups of Members present, she declared that the amendments were negatived.

Question that clause 43 stand part of the Bill put.

Hon Andrew CHENG claimed a division. The Chairman then ordered the Committee to divide under Rule 49(5) of the Rules of Procedure.

The Chairman announced that 54 Members were present, 27 were in favour of the motion and 26 against it. (Voting record in Appendix IX.) Since the question was not agreed by a majority of the Members present, she declared that the motion was negatived.

The Chairman stated that as the motion that clause 43 stand part of the Bill had been negatived, clause 43 was therefore deleted from the Bill.

The Chairman granted leave to the Secretary for the Treasury to move without notice the addition of new clause 43A.

New clause 43A read the first time.

The Secretary for the Treasury moved the Second Reading of new clause 43A and addressed the Committee.

Question on the Second Reading of new clause 43A proposed, put and agreed to.

New clause 43A read the second time.

The Secretary for the Treasury moved the addition of new clause 43A to the Bill.

Question on the addition proposed, put and agreed to.

New clauses 15A and 45A read the first time.

The Secretary for the Treasury moved the Second Reading of new clauses 15A and 45A and addressed the Committee.

Question on the Second Reading of new clauses 15A and 45A proposed, put and agreed to.

New clauses 15A and 45A read the second time.

The Secretary for the Treasury moved the addition of new clauses 15A and 45A to the Bill.

Question on the addition proposed, put and agreed to.

The Council then resumed.

Third Reading

The Secretary for the Treasury reported that

    the Revenue Bill 1999
had passed through Committee with amendments. She moved that the Bill be read the third time and do pass.

Question on the Third Reading proposed, put and agreed to.

Bill read the third time and passed.

Motions

Proposed resolution under the General Holidays Ordinance

The Secretary for Education and Manpower moved the following motion and addressed the Council:

Resolved that 31 December 1999 be appointed as a general holiday in addition to the existing general holidays specified in the Schedule to the General Holidays Ordinance.

At 8:31 pm, the President's Deputy took the chair during the temporary absence of the President.

Question on the motion proposed.

Seven Members spoke on the motion.

The Secretary for Education and Manpower replied.

At 9:09 pm, the President resumed the chair.

Question on the motion put and agreed to.

Members' Motions

Proposed resolution on "Legislative Council Emblem"

Dr Hon LEONG Che-hung moved the following motion and addressed the Council:

Resolved that the design attached to this resolution be adopted as the emblem of this Council. (Emblem design in Appendix X.).

Question on the motion proposed.

10 Members spoke on the motion.

Dr Hon LEONG Che-hung replied.

Question on the motion put.

Dr Hon LEONG Che-hung claimed a division. The President then ordered the Council to divide under Rule 47(1) of the Rules of Procedure.

The President announced that among the Members returned by functional constituencies, 21 were present, 15 were in favour of the motion, five against it and one abstained; while among the Members returned by geographical constituencies through direct elections and by the Election Committee, 22 were present, 13 were in favour of the motion, six against it and two abstained. (Voting record in Appendix XI.) Since the question was agreed by a majority of each of the two groups of Members present, she declared that the motion was carried.

The President suspended the meeting at 9:53 pm.

* * * * * *

The Council resumed at 9:25 am on 9 July 1999.

Hon LEE Wing-tat and Hon Martin LEE raised a point of order on whether it was a tradition or practice of the Council to require the presence of a quorum within the first 15 minutes of the scheduled commencement time of a meeting. The President stated that meetings of Council's committees would be aborted if a quorum was not reached within the first 15 minutes of the scheduled commencement time. However, this practice was not applicable to Council meetings which would start at such time as the President considered that a quorum was present. The Rules of Procedure did not specify that the Council meeting should be aborted if a quorum was not reached within 15 minutes of the scheduled commencement time. It was an exceptional case that it had taken more than 20 minutes to form a quorum before the meeting could start. This was understandable since it had only been announced at 7:30 pm of the previous day that the meeting should continue in the morning.

The President then invited Hon Cyd Ho to move her motion.

The Executive Council

Hon Cyd HO moved the following motion and addressed the Council:

That this Council urges the Chief Executive to expeditiously review the powers and responsibilities of the Executive Council, the criteria for appointing the Executive Council Members, the role of the Executive Council Members and the means for dealing with conflicts of interest, and to enhance the transparency of the Executive Council, so as to enhance its accountability to Hong Kong people.

Question on the motion proposed.

14 Members and the Chief Secretary for Administration spoke on the motion.

Hon Cyd HO replied.

Question on the motion put.

Hon Cyd HO claimed a division. The President then ordered the Council to divide under Rule 47(1) of the Rules of Procedure.

The President announced that among the Members returned by functional constituencies, 22 were present, six were in favour of the motion and 16 against it; while among the Members returned by geographical constituencies through direct elections and by the Election Committee, 24 were present, 13 were in favour of the motion and 10 against it. (Voting record in Appendix XII.) Since the question was not agreed by a majority of each of the two groups of Members present, she declared that the motion was negatived.

Enhancing the competitiveness of Hong Kong's manufacturing industry

Hon Kenneth TING moved the following motion and addressed the Council:

That, following the substantial depreciation of the currencies and the increasing political stability of the Southeast Asian countries, Hong Kong's manufacturing industry has been steadily losing goods orders, and the Government's various policies to promote the development of the manufacturing industry have only had limited effect; to enhance the competitiveness of the local manufacturing industry, this Council urges the Government to:

(1)reduce the various government fees and charges relating to the manufacturing industry, as well as coordinating with the various relevant public and private organisations for lowering as far as possible public utilities charges, public transport costs, airport charges, container terminal handling charges and those fees which have a direct impact on the operating costs of the manufacturing industry;
(2)introduce more tax concessions which are conducive to the development of the manufacturing industry;
(3)explore the feasibility of offering direct government loans to manufacturers; and
(4)discuss with the Central Government the extension of the right of Hong Kong manufacturers to sell their products in the Mainland and the provision of tax concessions, and streamline the regulation of the operation of factories established with capital from outside the Mainland.

Question on Hon Kenneth TING's motion proposed.

The President stated that Hon SIN Chung-kai would move an amendment to the motion. In accordance with the Rules of Procedure, the motion and the amendment would be debated together in a joint debate.

Hon SIN Chung-kai moved the following amendment to Hon Kenneth TING's motion and addressed the Council:

To delete "following the substantial depreciation of the currencies and the increasing political stability of the Southeast Asian countries, Hong Kong's manufacturing industry has been steadily losing goods orders, and the Government's various policies to promote the development of the manufacturing industry have only had limited effect;"; to add "in terms of innovation and technology" after "to enhance the competitiveness of the local manufacturing industry"; to delete "reduce" and substitute with "freeze"; to delete "," from "public utilities charges," and substitute with "and"; to add "and introduce competition to bring" after "public transport costs,"; to delete "," from "airport charges," and substitute with "and"; to delete "and those fees which have a direct impact on the operating costs of the manufacturing industry" and substitute with "to market price levels"; to delete "introduce more" and substitute with "provide"; to delete "which are conducive to the development of the manufacturing industry" and substitute with "for investment in scientific research and the training and development of talents"; to delete "explore the feasibility of offering direct government" and substitute with "offer"; to delete "manufacturers" and substitute with "newly-established enterprises which are innovative"; and to add "(i) the setting up of a support centre to assist businessmen in resolving taxation and legal problems they encounter while doing business in the Mainland, and (ii)" after "discuss with the Central Government".

Question on Hon SIN Chung-kai's amendment to Hon Kenneth TING's motion proposed.

Three Members spoke on the motion and the amendment.

At 12:00 pm, the President's Deputy took the chair during the temporary absence of the President.

Two other Members spoke on the motion and the amendment.

At 12:16 pm, the President resumed the chair.

14 other Members spoke on the motion and the amendment.

Hon Kenneth TING spoke on the amendment.

The Secretary for Trade and Industry spoke on the motion and the amendment.

Question on Hon SIN Chung-kai's amendment to Hon Kenneth TING's motion put.

Hon SIN Chung-kai claimed a division. The President then ordered the Council to divide under Rule 47(1) of the Rules of Procedure.

The President announced that among the Members returned by functional constituencies, 20 were present, seven were in favour of the amendment and 13 against it; while among the Members returned by geographical constituencies through direct elections and by the Election Committee, 21 were present, 12 were in favour of the amendment and eight against it. (Voting record in Appendix XIII.) Since the question was not agreed by a majority of each of the two groups of Members present, she declared that the amendment was negatived.

Hon Kenneth TING replied.

Question on Hon Kenneth TING's original motion put.

Hon James TO claimed a division. The President then ordered the Council to divide under Rule 47(1) of the Rules of Procedure.

The President announced that among the Members returned by functional constituencies, 20 were present, 16 were in favour of the original motion and four abstained; while among the Members returned by geographical constituencies through direct elections and by the Election Committee, 22 were present, 12 were in favour of the original motion and nine abstained. (Voting record in Appendix XIV.) Since the question was agreed by a majority of each of the two groups of Members present, she declared that the original motion was carried.

Next Meeting

The President declared that the next meeting of the Council would be held on 14 July 1999 at 2:30 pm.

The Council was adjourned at 2:17 pm.

(Mrs Rita FAN) President

Council Chamber
Hong Kong