Responding to recent reports on unscrupulous bullion traders preying on gullible teenage job-seekers, outspoken Legco member Chim Pui-chung has offered his own prescription to cure the ills. He called the Government to task and suggested it recognise a licensing system and authorisation scheme of the Gold and Silver Exchange. About 40 people so far have reported they had lost a total of $4 million after being tempted to invest in gold by their employers. Four bullion companies were raided on Monday following complaints by 13 people. Mr Chim said 'The best solution is for the government to recognise the exchange's membership regime.' All traders engaging in gold or silver trading are then required to apply for a licence from the exchange. The exchange, established in 1949 as a private company, has 191 members, of whom about 40 to 50 are active members. The government has since then been taking a non-intervention approach toward the exchange. Persistent complaints from customers of the forex companies prompted the Government to take up a supervisory role in 1994.
