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5. I AGREE WITH THE PHRASES IN THE SECOND, THIRD AND FOURTH SENTENCES OF YOUR PROPOSED BRIEF IN PARAGRAPH 3 OF TEL. 103. BUT SUBJECT TO PEKING'S ADVICE I WOULD BE FIRMLY AGAINST THEIR USE IN

PUBLIC.

CROWN AND PUBLIC SERVICE IN HONG KONG

6. I AGREE THAT WE NEED TO DECIDE PRIORITIES FOR DISCUSSING THE TYPE OF AMENDMENTS TO THE BILL TO COVER CROWN SERVICE IN HONG KONG AND THOSE UNOFFICIALS WHO SERVE ON IMPORTANT COUNCILS AND COMMITTEES ETC.

7. AS REGARDS THE AMENDMENTS PROPOSED IN PARAGRAPH 3 OF YOUR TEL.

112, WE SHALL NEED TO EXAMINE WITH GREAT CARE WHETHER THE DEFINITION OF 'CROWN SERVICE THEN REMAINING WOULD COVER ALL THOSE

WE ARE SEEKING TO INCLUDE. ALTHOUGH THIS SEEMS THE SIMPLEST DRAFTING OPTION IT APPEARS TO HAVE SERIOUS DISADVANTAGE THAT IT WOULD NOT

INCLUDE UNOFFICIALS.

8. SO FAR AS YOUR SECOND PREFERENCE IN PARAGRAPH 4 IS CONCERNED, WE WHOULD WANT TO BE SURE THAT THE TERM 'PUBLIC SERVICE' DID IN FACT INCLUDE UNOFFICIALS. WE WOULD HOWEVER ADVISE STRONGLY AGAINST ATTEMPTING TO FETTER THE HOME SECRETARY'S DISCRECTION SO FAR AS ITS FUTURE USE IS CONCERNED BY REFERRING TO ANY CHANGE OF STATUS IN SUCH A TERRITORY'. FURTHERMORE I SEE STRONG OBJECTIONS TO THE USE IN PUBLIC OF SUCH A PHRASE. WE CANNOT THINK OF A SATISFACTORY FORMULA FOR LIMITING THE HOME SECRETARY'S DISCRETION BY REFERENCE TO CIRCUMSTANCES. EVEN THE ALTERATION OF 'IN SPECIAL CIRCUMSTANCES ' WOULD RAISE MORE QUESTIONS THAT IT WOULD SOLVE. IF LIMITATION IS ESSENTIAL, I SUGGEST THE PHRASE USED IN THE THIRD SENTENCE OF PARA 70 OF THE WHITE PAPER.

9. WE WOULD ALSO MUCH PREFER NOT TO FETTER THE HOME SECRETARY'S DISCRETION AS TO CATEGORIES. OUR OBJECTIVE WOULD BE TO PROVIDE THAT THOSE IN PUBLIC SERVICE OR CLOSELY CONNECTED WITH GOVERNMENT WERE INCLUDED OR AT LEAST NOT EXCLUDED. HOWEVER TO SPECIFY SUCH A DISTINCTION IN LEGISLATION COULD PROVE DIVISIVE LOCALLY, PARTICULARLY AT A TIME OF STRESS. THE BEST FORMULA THEREFORE WOULD BE ONE WHICH GAVE DISCRETION TO THE HOME SECRETARY TO PROVIDE NATURALISATION FOR THOSE IN DEPENDENT TERRITORIES AND ADDED THAT, IN THE EXERCISE OF THIS DISCRETION, PARTICULAR ATTENTION WOULD BE PAID TO THE INVOLVEMENT IN PUBLIC SERVICE OF THOSE CONCERNED.

10. OBVIOUSLY OUR FIRM PREFERENCE IS FOR ONE OR OTHER OF THESE PROPOSALS. WE HOPE THIS WOULD BE NEGOTIABLE. AFTER ALL THE NUMBERS

INVOLVED WOULD BE CONTROLLABLE AS ENVISAGED IN PARA 70 OF THE WHITE PAPER, DEPENDING AS THEY WILL UPON THE EXERCISE OF THE HOME SECRETARY'S DISCRETION AND THE CIRCUMSTANCES OBTAINING AT THE TIME THE DISCRETION HAD TO BE EXERCISED, IF AT ALL. ALTHOUGH THEREFORE SOME MIGHT SEE THE NUMBERS AS REPRESENTING A LARGE POTENTIAL ENTITLED CATEGORY WOULD HAVE THOUGHT THAT, GIVEN THE MORAL OBLIGATION WHICH ALREADY EXISTS REGARDLESS OF THE BILL, IT SHOULD NOT BE IMPOSSIBLE TO SECURE APPROVAL TO ONE OR OTHER OF THE

CHANGES.

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