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*ACKMAN SCANDINA

FROM:

A R Paul

56

HKB 431

16

Hong Kong Department

DATE:

5 September 1990

Mr Fish

Overseas Pensions Department

ODA

HONG KONG PENSIONS

1.

Thank you for your minute of 2 July about the ODA's role in relation to Hong Kong pensions issues, including the Compensation/Incentive Scheme for Hong Kong HMOCS members. I am sorry for the delay in replying.

2. Sir G Howe's minute to the Chief Secretary of

24 November 1988 proposed that the Compensation/Incentive Scheme should be managed by the ODA and borne on the ODA's Overseas Superannuation Vote (although both Sir G Howe and Mr Major agreed that it would not be an appropriate charge to the Aid Programme).

3.

Although no final decision has yet been taken on funding, we assume that, in view of the possible financial implications for the ODA Overseas Superannuation Vote, ODA would need to have a considerable say in the detailed

formulation of the scheme, as has indeed been the case so

far. We also assume that ODA would not only provide

technical advice on entitlements and payments systems but

would also be fully involved in the actual administration of

the scheme-keeping records, making payments etc.

ARPR

A R Paul

BAYABW/1

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