HKU Bulletin June 2006 (Vol. 7 No. 3)

11 10 PEOPLE Shot in the Arm for Human Rights The Faculty of Law welcomes a new expert in Human Rights. H uman rights expert, Professor Hurst Hannum, has succeeded Professor Yash Ghai as the Sir Y.K. Pao Chair of Public Law. Hannum, who has a wide range of practical experience in human rights, has focused his research primarily on minority rights, humanitarian intervention and human rights in emergency situations. He is also interested in the role of self-determination, constitutional law and international organizations. He has served as legal counsel in a number of cases brought before the European, American and United Nations (UN) human rights forums. Formerly of the Fletcher School of Law and Diplomacy at Tufts University, Hannum has served as a consultant to the UN Higher Commissioner for Human Rights on issues ranging from minority rights to the troubles in Afghanistan, East Timor, Western Sahara, Aceh, Sri Lanka and Kashmir. He said: “It is an honour to follow in the steps of the first holder of the Y.K. Pao Chair, Professor Yash Ghai, and I believe that my appointment is further evidence of the strong commitment to human rights and public law that has characterized the Faculty of Law at HKU for many years. “I look forward to continuing my research in the areas of autonomy and minority rights in Asia and I hope that the coming years will see continuing advances in awareness and protection of human rights in the region.” Dean of the Faculty, Professor Johannes Chan, added: “Professor Hannum’s arrival is an excitement for the Faculty. His impressive expertise and ongoing research on human rights and international law will definitely further strengthen the Faculty’s strength in the areas of public law and human rights.” Professor Hannum received his AB degree with High Honours in Pol itical Science and a French Juris Doctor (JD) degree from the University of California at Berkeley. He was honoured by Tufts University for outstanding faculty achievement in 2001 and was a recipient of the Allan McLeod Cormack Award for collaborative student-teacher research in 1995. Keeping Hong Kong’s Financial Sector Competitive A team of scholars publish a new book H ong Kong is one of Asia’s leading financial centres, but it needs to take a closer look at its competitiveness if it is to maintain that position, suggests a new book by a multi-disciplinary team of scholars. Financial Markets in Hong Kong: Law and Practice tackles the complexities of the legal and regulatory systems supporting Hong Kong’s financial markets, from both a legal and market viewpoint. It also aims to provide the first comprehensive explanation of the workings of these markets. “We all feel that finance is very important to Hong Kong’s future. It’s one of the areas where Hong Kong has the competitive advantage not only in China, but in the region,” said Dr Douglas Arner, Director of the Faculty of Law’s Asian Institute of International Financial Law (AIIFL) and one of the book’s four co-authors. “Our single biggest point is that despite an obligation in the Basic Law to periodically look at Hong Kong’s competitiveness and especially its legal and regulatory system, the Hong Kong Government has only taken a piecemeal approach.” The authors say a simplification of the regulatory system, corporate governance and human resource development are key issues for the city’s future. The complexities of the financial regulatory system have meant businesses must deal with several different government organisations, as well as self-regulatory agencies, the authors say. This makes it complicated and expensive for operators to comply and increases the chance that some issues may fall through the cracks. Corporate governance is also a concern, even though Hong Kong’s legal system is strong, particularly in comparison with Mainland markets. This is because there is still the risk a company here could suffer major problems that would undermine confidence among other listed companies and global investors. Better disclosure and management practices would minimise this risk, the authors say, especially as more companies from jurisdictions with less robust regulatory systems, such as the Mainland, list in Hong Kong. Human resources also need attention, they say. Financial centres are hubs for accountants, lawyers, bankers and similar professionals. Hong Kong needs to ensure these people continue to stay and cluster here, as well as provide an appropriate educational system. “Hong Kong has a number of idiosyncrasies in its economy, politics and legal system. This book is in some ways an attempt to do something we wish someone else had done before, to make it all a little more understandable,” Arner said. Apart from Arner, the book’s authors include Dr Berry Hsu Fong Chung, AIIFL Deputy Director and Associate Professor in the Department of Real Estate and Construction, Dr Maurice Tse Kwok Sang, Associate Professor of the School of Economics and Finance, and Syren Johnstone, an experienced finance lawyer now an AIIFL Visiting Fellow. In addition, two consulting editors from the business world were also brought in – Laurence Li, former Director of Corporate Finance at the Securities and Futures Commission, and Paul Lejot, also an AIIFL Visiting Fellow who has 25 years of investment banking experience. “The laws and regulations in Hong Kong change rapidly. We hope the reader will have come away with enough background to understand these regulations or, if they are changed, cope with the change,” Hsu said. The underlying research for the book was supported through an Research Grants Council Competitive Earmarked Research Grant on Hong Kong as an international financial centre and as part of the University’s Strategic Research Theme on Corporate and Financial Law and Policy . The book went through 11 external reviews before being published by Oxford University Press and has received good feedback from market professionals. There is talk of a second print run, despite a hefty price tag – $2,000 per copy – and Hsu said he hoped they could in the future produce a cheaper edition for students.