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sterling. A Public Officers Agreement/(POA) had also been

negotiated in other DTs which guaranteed the sterling value

of HMOCS pensions. Most of the features of these POAS were

contained in the Joint Declaration (JD) with the exception

of the safeguard for pensions. Mr Paul asked if a POA would

be necessary and appropriate in Hong Kong's case and if there was likely to be any pressure for one to be signed. Mr Fish said that some pressure was likely. Mr Shipley

negotiation pointed out that in other DTS the agreement of POA had

preceeded the constitutional instruments (C01-306, emnd

1193), in Hong Kong they were already in existence.

Joint Declaration and the Basin law

3.

X

Cie. It i

Mr Rayson asked if it was possible to clarify exactly

what HMG's legal commitments were. Colonial 306 had not mentioned exchange rate safeguards, this was contained in

POAS for other DTs. Mr Kerby said that sterling safeguards for pensions had been a policy decision following on from

Col 306 and Cmnd 1193. Mr Fish reiterated that most

provisions made in the POAS in other territories were made

in the JD except the safeguard for the sterling value of

pensions. Mr Fifoot added that there were strong expectations by members of HMOCS in Hong Kong that the same

guarantee would be given to them.

4.

independence constitution)

Mr Rayson asked Mr Fifoot what HMG was legally bound to

do. Mr Fifoot replied that Col 306 did not provide any

legal basis but that it was a clear statement of policy which had led to strong expectations. Statements made by Ministers in subsequent correspondence about this had

reinforced this policy toward members of HMOCS. Although

HMG was not obliged by statute or contract, it accepted its

responsibility to fulfil the expectations which stemmed from

statements made in Col 306, expanded in Command 1193. These statements were the reason why officers continued to join

HMOCS (and why HMG enrolled them).

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