Mr Stannard was selected by a panel chaired by SFC Chairman Mr Andrew Sheng and consisting of the following members: Deputy Secretary for Financial Services, Mrs Rebecca Lai; SFC Non-Executive Directors The Hon Ronald Arculli and Mr Henry Fan; and Mr Kevin Westley, Chairman of HSBC Investment Bank Asia Holdings and Chairman of the Takeovers and Mergers Panel.

The addition of Mr Stannard as an Executive Director follows a review in 1997 by external management consultants of the Commission's operational structure. The review identified increasing workload at the board level and an additional Commission member would allow better allocation of work among the Executive Directors.

A Partner of Norton Rose since 1987 and its Managing Partner in Hong Kong since 1995, Mr Stannard has substantial experience in corporate and securities law. He has practised in this area in London since 1981 and in Hong Kong since 1983. He is Chairman of the sub-committee on Securities Law of the Hong Kong Law Society and a member of both the Panel on Takeovers and Mergers and the Takeovers Appeals Committee.

Mr Stannard has resigned from Norton Rose and will join the SFC on 1 January 1999. His term of appointment will expire on 30 September 2001.

SFC Chairman Mr Sheng said: "I am delighted to welcome Mr Stannard as our new Executive Director of Corporate Finance. I am certain that given his expertise and substantial experience in corporate and securities law as well as his understanding of Hong Kong markets, Mr Stannard will be able to make very useful contribution to the work of the Commission. We see this as an important step in the exchange of expertise between the market and the Commission to ensure that the regulatory framework will always be responsive to market needs."

The SFC also announces that the Financial Secretary has re-appointed Mrs Laura Cha, Deputy Chairman and Executive Director, and Mr Mark Dickens, Executive Director of Enforcement. Their terms have been extended by two years to 28 February 2001 and 31 December 2000, respectively.

The SFC also notes that the Financial Secretary has re-appointed The Hon Ronald Arculli and appointed Mr Brian Stevenson and Ms Anna Wu as Non-Executive Directors of the Commission, following the retirement of Mr Roderick Chalmers and Mr Robert Kotewall, SC, on 31 December 1998.

Mr Sheng said: "I would like to express my gratitude to Mr Chalmers and Mr Kotewall, who have made valuable contribution to the development of the Commission and the Hong Kong markets in their long years of service and especially during the very difficult time that Hong Kong has recently experienced. Their independent and expert advice has been invaluable to the work of the Commission."

As of 1 January 1999, the Commission will consist of six Executive Directors and six Non-Executive Directors. The Executive Directors are Mr Andrew Sheng (Chairman), Mrs Laura Cha (Deputy Chairman), Mr David White, Mr Mark Dickens, Mr Andrew Procter, and Mr David Stannard. The Non-Executive Directors are The Hon Ronald Arculli, Mr Henry Fan, Mr Daniel Fung, SC, Mr Raymond Kwok, Mr Brian Stevenson, and Ms Anna Wu.