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CONFIDENTIAL

the DISCIPLINED SERVICE SECTION (DSS) and

the SENSITIVE SERVICE SECTION (SSS)

each of which is described below. In selecting people to be recommended for citizenship within these sections, the Governor

would have the assistance of a STEERING GROUP (the advisory

committee provided for in the Bill) which would be chaired by the

Chief Secretary of the Hong Kong Government, would include independent representatives of the community and which would work

closely with the Independent Commission Against Corruption, the

Commissioner of which would be a member of the Group.

Distribution of Places

4. It is currently envisaged that selection of citizenship

recipients would operate in two tranches. The majority of places

would be distributed in the first tranche, as quickly as

administrative processes in Hong Kong permitted, so that early

confidence could be given to key personnel who might otherwise

leave. Except in the case of the Key Entrepreneurs Section a

second tranche (about 13% of the overall total) would be reserved

for allocation nearer to 1997, to cater for those who would by

then have moved into key positions, and to give any who had

failed to secure a place in the first round a second chance.

People would be able to submit only one application in each

tranche. It is expected that the majority of the places would

be given to people in the private sector.

5. The distribution by Section could be expected to be as

follows (although the figures for the second tranche might be

adjusted to take account of any shortfall in the first):

CONFIDENTIAL

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