PRIVATE MEDICAL BENEFIT ORGANISATIONS (Legislation to Control Activities) (Statement by the Chief Minister)

10.26 a.m.

The Chief Minister (Mr Lim Yew Hock): Mr Speaker, Sir, I am pleased to announce that following upon the findings of a Government Inter-Departmental Committee which was recently appointed to look into the nature and activities of private medical benefit organisations, Government has decided in principle to introduce fresh legislation to bring under more effective control the activities of these organisations as well as other forms of mutual-aid organisations which might be established in future.

Sir, there are at present 21 active medical benefit organisations which have all sought and obtained official recognition by either registering under the Business Names Ordinance or registering as private limited companies under the Companies Ordinance, and except for registration they are not subject to any control whatever. In view of the multiplicity of the activities of these organisations, and public concern as to the questionable nature of some of their objects, it has been decided that it would be necessary to bring these organisations under more effective control; hence the need for the introduction of fresh legislation. The form, Sir, which such legislation will take is now being examined by the Hon. the Attorney-General.