Clause 2

by inserting, immediately after the definition of “Authority”, the following definition:“ “capital funds”, in relation to a finance company, means the paid-up capital and published reserves of that company deduction having been made in respect of any debit balance appearing in the profit and loss account of the company;”;

by inserting, immediately after the definition of “financing business”, the following definition:“ “Government securities” has the same meaning as in the Government Securities Act [Cap. 121A];”; and

by inserting, immediately after the definition of “public company”, the following definition:“ “published reserves”, in relation to a finance company, means reserves which appear in the accounts of the finance company but does not include any reserves which are represented by the writing down of the value of assets or by provision for the depreciation of fixed assets or which are maintained for any specific purposes;”.