60 see financial and treasury bureau consultation

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60 See Financial and Treasury Bureau “ Consultation Conclusions on Proposals to Enhance the Regulation of Listing” available at . 61 See Financial and Treasury Bureau “ Consultation Paper on Proposed Amendments to the Securities and Futures Ordinance to Give Statutory Backing to Major Listing Requirements” available at . 62 See Securities and Futures Commission “ A Consultation Paper on Proposed Amendments to the Securities and Futures (Stock Market Listing) Rules” available at . 63 See Securities and Futures Commission “ Consultation Conclusions on Proposed Amendments to the Securities and Futures (Stock Market Listing) Rules” available at .
25 to its January 2005 consultation for as they say “better later than never”. Thereafter, the government should muster the political will to ultimately see the introduction of proposals that it had first raised some six years ago. By introducing statutory backing to the Listing Rules, the government would place Hong Kong on the road to a regime of continuous disclosure thereby advancing its aspiration to be the “paragon of corporate governance in Asia.” 64 In doing so, it could possibly justify the deferral of the more contentious issue of quarterly reporting, thereby saving itself from being embroiled in the charged debated that surrounded the proposal by the stock exchange to further limit share trading by directors through enhanced black out periods. 65 CONCLUSION At the outset it should be made unequivocally clear that the author does not condone the actions of CITIC Pacific Limited and/or its directors in delaying the disclosure of material price sensitive information. However, this article is not about judging the conduct of the company or of its directors but rather about a significant regulatory gap that exists in Hong Kong, which if left unrectified could have serious ramifications on its status as an international financial centre. A fundamental pillar that supports the success of the financial markets in Hong Kong is its universally recognized adherence to and perpetuation of the rule of law. We set objective and transparent regulations which are generally enforced without fear or favour. Issuers, investors and intermediaries are attracted to this important facet of Hong Kong and they collectively contribute towards its continuing development and success. Despite the lacuna in the regulatory framework , it does not automatically follow that the directors of CITIC Pacific will escape liability despite the losses incurred by both the company and its investors. It comes as no surprise to the author that the matter is now subject to an investigation by the Commercial Crimes Bureau of the Hong Kong Police Force which on 3 64 See Tsang D., “ Budget Speech 2001-02 ” at paragraph 68 available at . See also Tsang D., “ Corporate Governance for the New Generation” available at

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