(4)

5.

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4.

Suggested Course of Action

In the light of the F.C.O.'s and Peking's

comments and SDA's misgivings, whilst it will be made

clear in the relevant paragraphs in Y.E.'s Annual

Address that the present arrangements for local

administration are to be examined to see if they can

be further improved, it is now proposed that no mention

should be made of the formation of a working party or

group, nor of the options to be considered.

6.

The final draft memorandum for Executive Council

reflects this backtracking. The memorandum should be

considered by Executive Council on 20 September at the

latest, so that Members will not (hopefully) get the

feeling that they are being asked to endorse the

recommendation for a review at the last moment.

Chief Secretary's Office,

Government Secretariat, Hong Kong.

26th August 1983

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PS/Mr Luce

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