Hong Kong Regulations

ELECTRICAL AND MECHANICAL SERVICES TRADING FUND - LONG TITLE

Empowering section

RESOLUTION OF THE LEGISLATIVE COUNCIL (L.N. 286 of 1996)

Resolution made and passed by the Legislative Council under sections 3, 4 and
6 of the Trading Fund Ordinance ( Cap 430) on 26 June 1996.

RESOLVED that with effect from 1 August 1996-

   (a)  on the recommendation of the Financial Secretary, the
Electrical and Mechanical Services Trading Fund ("the trading fund") shall be
established to manage and account for the operation of certain government
services of the Electrical and Mechanical Services Department;

   (b)  the services to be provided under the trading fund shall be those
        specified in Schedule 1;

   (c)  the assets set out in column 2 of Schedule 2 shall, subject to any
        term specified opposite an asset in column 3 of that Schedule, be
        appropriated to the trading fund;

   (d)  the net value of fixed assets of $1009.4 million appropriated to
        the trading fund shall be shown in the Capital Investment Fund-

        (i)    as to $302.8 million, as a loan;

        (ii)   as to the balance, as a contribution of trading fund capital;

   (e)  the loan referred to in paragraph (d)(i)-

        (i)    shall be repayable in 10 equal annual instalments of $30.28
               million each, the first such instalment to become due on 1 July
               1997 and subsequent instalments being due on the anniversaries
               of that date;

        (ii)   shall, as to any balance unpaid, bear interest at a rate equal
               to the average of the best lending rate quoted by the
               continuing members of the Committee of The Hong Kong
               Association of Banks, such interest to be payable annually in
               arrears. (Enacted 1996)