Chapter:	346	Title:	TRADING WITH THE ENEMY ORDINANCE	Gazette Number:	71 of 1999
Section:	7	Heading:	Transfer of negotiable instruments and choses in action by enemies	Version Date:	01/07/1997

Adaptation amendments retroactively made - see 71 of 1999 s. 3

(1) No assignment of a chose in action made by or on behalf of an enemy shall, except with the sanction of the Chief Executive, be effective so as to confer on any person any rights or remedies in respect of the chose in action, and no transfer of a negotiable instrument or prescribed instrument within the meaning of section 137B of the Banking Ordinance (Cap 155) by or on behalf of an enemy, or subsequent transfer thereof, shall, except with the sanction of the Chief Executive, be effective so as to confer any rights or remedies against any party to the instrument. (Amended 94 of 1993 s. 44; 71 of 1999 s. 3)
(2) The provisions of subsection (1) shall apply in relation to any transfer of any coupon or other security transferable by delivery, not being a negotiable instrument or prescribed instrument within the meaning of section 137B of the Banking Ordinance (Cap 155), as they apply in relation to an assignment of a chose in action. (Amended 94 of 1993 s. 44)
(3) Any person who by payment or otherwise purports to discharge any liability from which he is relieved by this section, knowing the facts by virtue of which he is so relieved, shall be deemed to have thereby traded with the enemy:
Provided that in any proceedings for an offence of trading with the enemy which are taken by virtue of this subsection it shall be a defence for the defendant to prove that at the time when he purported to discharge the liability in question he had reasonable grounds for believing that the liability was enforceable against him by order of a competent court, not being either a court having jurisdiction in Hong Kong or a court having jurisdiction in enemy territory, and would be enforced against him by such an order. (Amended 71 of 1999 s. 3)
(4) Where a claim in respect of a negotiable instrument or prescribed instrument within the meaning of section 137B of the Banking Ordinance (Cap 155) or chose in action is made against any person who has reasonable cause to believe that, if he satisfied the claim, he would be thereby committing an offence of trading with the enemy, that person may pay into the Court any sum which, but for the provisions of subsection (1), would be due in respect of the claim, and thereupon that sum shall, subject to rules of court, be dealt with according to any order of the Court, and the payment shall for all purposes be a good discharge to that person. (Amended 94 of 1993 s. 44)
(5) Nothing in this section shall apply to securities to which the provisions of section 8 apply.