§ 1.14 p.m.
§ Lord MELCHETT rose to move, That the draft Stock Exchange (Completion of Bargains) (Northern Ireland) Order 1977, laid before the House on 28th April, be approved. The noble Lord said: My Lords, I beg to move that the Stock Exchange (Completion of Bargains) (Northern Ireland) Order be approved. The new computerised system to be introduced by the Stock Exchange to provide for the more efficient and rapid transfer of securities requires certain comparatively minor changes in company law, the law of trusts and in prescribed stock transfer forms. The Stock Exchange (Completion of Bargains) Act 1976 has already introduced these changes, so far as Great Britain is concerned, and this order contains corresponding provisions for Northern Ireland. The procedures involved in stock transfer work are necessarily intricate and time-consuming and can cause considerable delay and difficulty in periods of active trading.
§ The new computerised system which the Stock Exchange intends to introduce will simplify documentation and spread the time-consuming clerical work involved in the processes of stock transfer much more evenly than at present. The new transfer procedure will result in a much simpler system for the settlement of bargains, the basic feature of which will be that title to securities which are being sold on the Stock Exchange will pass to a nominee of the Stock Exchange to be known as Sepon Limited. A purchaser of securities will then take title to the securities from Sepon Limited.
§ My Lords, if any noble Lord wishes, I would be happy to explain the provisions contained in the order in more detail. 1462 They are provisions which will be advantageous for all concerned with the Stock Exchange in Northern Ireland, and they will undoubtedly benefit the investing public and institutions, companies whose shares are listed, and members of the Stock Exchange. My Lords, I beg to move.
§ Moved, That the draft Stock Exchange (Completion of Bargains) (Northern Ireland) Order 1977, laid before the House on 28th April, be approved.—(Lord Melchett.)
§ On Question, Motion agreed to.