exclusion clause remaining in the Order, despite the possibility of protest by people like Mr Carter on behalf of the creditors and shareholders of defunct companies.
e) Pensions
In common with the Russian Order, the draft China Order contains at present no specific provision in pensions, with the result that claims in respect of pensions would be established if at all, as debts. The FCC would however like specific provisions to deal with what has in the past been an issue of some sensitivity.
The 1980 Registration Order allowed claims for pensions in that the definition of debt in the Order included: "a pension due from a person, corporation, firm or association (other than a United Kingdom national) resident in the territory or from a public authority in the territory, except a pension in respect of which the applicant is actually in receipt of payments by Her Majesty's Government in the United Kingdom, whether by way of ex gratia loan or otherwise".
The category referred to in the proviso above comprises former employees (mainly ex-policemen) of the Shanghai Municipal Council, an ostensibly international body which was largely under British control. When the UK handed back its extra-territorial powers in certain areas of China to the Chinese Government in 1943, the Chinese Government undertook to meet the financial obligations of the Shanghai Municipal Council. The British Government during the Second World War made a number of ex gratia pension payments to former employees of the Shanghai Municipal Council pending resolution of financial claims when the War ended. But neither the Nationalist nor Chinese Communist Governments were in the event willing to abide by their obligations.
The fact that these people were excluded from the 1980 Order does not necessarily mean that they should now be excluded from the distribution if they could show that they had received less in the form of ex gratia payments than their entitlement. The number of pensioners still receiving ex gratia payments from HMG has fallen to eight receiving in toto approximately £1,500 annually.
A small number of other pension claims was also registered by the FCC in the 1980/81 registration exercise, and there may be others that will wish to claim.
As the 1980 Order included a pensions provision, I think the present Order should also have specific provisions that permit claims in respect of pensions to be made despite the fact that
/they are