Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time." Following the formation of Malaysia, the Telegraphs Ordinance, Chapter 108, of Singapore was repealed and the Telecommunications Ordinance, 1950, of Malaya, was extended to Singapore, Sabah and Sarawak. With the separation of Singapore from Malaysia, it is necessary to promulgate our own Telecommunications legislation. The Telecommunications Bill seeks to enact the provisions of the Telecommunications Ordinance, 1950, of Malaysia with the necessary amendments consequent on the attainment of independence by Singapore and its ceasing to be a part of Malaysia. The penalties in the Bill have been equated to the penalties set out in the repealed Telegraphs Ordinance, Chapter 108, of Singapore. These are higher than those in the Telecommunications Ordinance, 1950, of Malaysia. Mr Speaker, Sir, I wish to take this opportunity to say a few words about external telecommunications which had previously been operated by the company of Cable & Wireless Ltd. The legal position with respect to the operation of external telecommunication services in Singapore is as follows. Licences were granted to Cable & Wireless Ltd, as follows - Cable Lending Licence by Deed dated 9th November, 1939, Licence for Underground Lending by Deed dated 22nd November, 1940, and the Wireless Telegraph Licence by Deed dated 1953. These Licences appear to be licences for definite periods and were due to expire on 31st December, 1962. On the expiry of these licences, it was the intention of the Singapore Government to take over the services under the provisions of the Singapore Overseas Telecommunications Board Ordinance, 1962, which was passed in the last Singapore Legislative Assembly early in 1962. However, action on the Ordinance was deferred because of a written request by the Minister for Works and Telecommunications and Posts of the Federation of Malaya, that the subject of telecommunications should be discussed at meetings of a Government Committee set up to deal with the details on the transfer of subjects to the future Central Government of Malaysia. Arising out of this request by the Kuala Lumpur Government, the Singapore Government agreed to extend the licences of Cable & Wireless to operate for another period of two years from the 1st of January, 1963, to the 31st December, 1964. Subsequently with Singapore joining Malaysia, telecommunications became the responsibility of the Central Government of Malaysia, and the Yang di-Pertuan Agong by Order repealed the Telegraphs Ordinance of Singapore, repealed the Singapore Overseas Telecommunications Board Ordinance, 1962, and extended the Telecommunications Ordinance, 1950, of Malaysia to Singapore. On the 1st January, 1965, the licences of Cable & Wireless Ltd., having expired, the Government of Malaysia decided to take over the assets of the company and to operate the service with effect from 1st January, 1965. The legal position appears to be that the Federal Government acted under the provisions of the Telecommunications Ordinance, 1950, under which the Government has the exclusive privilege of establishing radio communications stations, and on the expiry of the licence of Cable & Wireless Ltd., took over the running of the services. Now, if Singapore had not joined Malaysia, Singapore would similarly have terminated the licence of Cable & Wireless Ltd, and taken over the services. This right comes within the terms "Property, Rights, Liabilities, and Obligations" which, before Malaysia Day, belonged to and were the responsibility of the Government of Singapore and must, under Article 9 of the Constitution and Malaysia (Singapore Amendment) Act revert to Singapore. It is the intention of the Singapore Government on the Telecommunications Bill becoming law to take action to operate external telecommunications services which had previously been carried out by Cable & Wireless Ltd. The Singapore Government understands that the Central Government of Malaysia had not finalised an agreement with Cable & Wireless Ltd, on the quantum which had to be paid to the company as a result of the take-over of the assets of the company. However, we believe that so far only a sum of $5 million has been paid by the Central Government of Malaysia to Cable & Wireless Ltd. in respect of the take-over of movable assets of the company. It is the intention of the Singapore Government that, on our taking over the assets of the previous Cable & Wireless Ltd., we would reimburse the Central Government of Malaysia whatever sums they have paid to the company. I would like to emphasise that the takeover of external telecommunications in Singapore will not in any way endanger the defence or the security or the external communications of Malaysia. The armed services defending Malaysia already have their own circuits at Jurong for external communications. Furthermore, Malaysia could use the Seacom circuits for external communications as Malaysia herself is a partner to the Seacom project and a member of the Commonwealth Cable Committee. And as such, Singapore could not deny Malaysia the facilities of Seacom, of which Singapore is also a partner. We would also want to make this reassurance, that Singapore, in keeping with the spirit of friendship and co-operation accompanying the establishment of the independent and sovereign State of Singapore, will want to extend all facilities provided by the Telecommunications Department (External) to the Malaysian Government. I would only like to inform the House that Malaysia today also has its own external communications station in Penang when it took over Cable & Wireless assets in Penang and ran it as a Government department after it became a sovereign and independent country. We have communicated with the Central Government of Malaysia of our intentions to move the Second and Third Readings of the Telecommunications Bill today and that, on the Bill becoming law, the Singapore Government would take over all responsibility for the operation of external communications in Singapore. Sir, I beg to move.