whether a solution could be found which would be satisfactory to all

concerned. The present proposal means that any undertaking which

fulfils the conditions laid down in the Act for a British airline

apart from having its principal place of business in a dependent

territory would not need to feel that there was a risk that it

-

would be treated less favourably than was just. We think that this

is a reasonable solution and would ask the Committee to support it.

ONLY IF PRESSED

It would not be proper, in view of the Secretary of State's

appellate function, for me to comment on the case at present before

The Authority

the Authority/and the Secretary of State on appeal, will, of

course, have to deal with that case on the basis of the law

existing at the time of their decisions7.

4

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