SECRET

security functions.

There might also be difficulty in

retaining senior expatriate and Hong Kong Chinese officers;

recruitment would be seriously affected.

17.

The continuation of the Hong Kong Special Branch,

with its present functions and in anything like its present

form, would present particular. difficulties. The safety

of Hong Kong Chinese officers now or previously employed in

it could be at risk.

COMMUNICATIONS AND INTELLIGENCE

18. A recognition of Chinese sovereignty over Hong Kong,

and in particular the conversion of Hong Kong into a

Special Administrative Region of the PRC, might also have

a significant effect on HMG's communications and intelligence

operations in the territory. This is considered in greater

detail in a separate paper outside the scope of this study.

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SECRET

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