Hong Kong Ordinances

STANDARD CHARTERED BANK (HONG KONG) LIMITED (MERGER) ORDINANCE - SECT 9

Accounting treatment of Standard Chartered Bank (Hong Kong) and the transferring entities

(1) On and from the appointed day, by virtue of this Ordinance and
notwithstanding the provisions of any other Ordinance—

   (a)  the undertaking of Standard Chartered, Hong Kong Branch shall be
        transferred to Standard Chartered Bank (Hong Kong) at its carrying
        value in the accounts of Standard Chartered, Hong Kong Branch as
        stated in them immediately prior to the appointed day;

   (b)  the undertaking of Manhattan Card Company shall be transferred to
        Standard Chartered Bank (Hong Kong) at its carrying value in the
        accounts of Manhattan Card Company as stated in them immediately prior
        to the appointed day;

   (c)  the undertaking of Standard Chartered Finance shall be transferred to
        Standard Chartered Bank (Hong Kong) at its carrying value in the
        accounts of Standard Chartered Finance as stated in them immediately
        prior to the appointed day;

   (d)  the undertaking of Standard Chartered International shall be
        transferred to Standard Chartered Bank (Hong Kong) at its carrying
        value in the accounts of Standard Chartered International as stated in
        them immediately prior to the appointed day;

   (e)  the undertaking of Chartered Capital shall be transferred to
        Standard Chartered Bank (Hong Kong) at its carrying value in the
        accounts of Chartered Capital as stated in them immediately prior to
        the appointed  day; and

   (f)  the amount, description and character of every reserve of
        Standard Chartered Bank (Hong Kong) shall be the same in all respects
        as those of the corresponding existing reserve of the
        transferring entities immediately prior to the appointed day, and all
        enactments and rules of law shall apply to or in respect of every such
        reserve of Standard  Chartered Bank (Hong Kong) in the same manner in
        all respects as they applied to or in respect of the corresponding
        existing reserve of the transferring entities immediately prior to the
        appointed day.

(2) Every reference in subsection (1)(f) to an existing reserve of a
transferring entity shall include a reference to any reserve or similar
provision, irrespective of its name or designation (and whether the amount
thereof be positive or negative in nature) and, without prejudice to the
generality of the foregoing, every such reference shall include a reference to
any sums standing to the credit (or debit) of any profit and loss account.