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In the light of the above, disadvantages to Hong Kong (including the financial cost and particularly the political considerations), we have strong and serious reservations about the proposed RASRO scheme. We must therefore ask that Hong Kong's views be firmly put to UNHCR.

We realise that you were given very short notice and we are most grateful that, despite this, you have given us a chance to comment. However, consideration of the RASRO scheme had started a year ago and we fail to under- stand why UNHCR should at this stage appear to be rushing the scheme through.

Thanks again and regards,

cc S for S (Mr C Leeks)

Youre sumerely

/feoly

Helen CP Lai YU (Mrs) for Commissioner

HCPLY/jf

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