CONFIDENTIAL

HKB 233/1

Mr Fox

Reference.

Agreed

Còl pl see X

Mr Cox

ти

Mr Ricketts

Now attached

ди

81x5

72811

10

HMOCS MATTERS: CORRESPONDENCE WITH THE TREASURY

राक्ष (147

(161

59

på pls ра

A

1.

B

x 1

Please refer to Mr Fish's minute to me of 21 October. Mr Fish is interpreting the last sentence of the second last paragraph Mr Mortimer's letter as meaning that the Treasury understand Hong Kong to be trying to off load liabilities onto HMG. He therefore feels (strongly he has phoned me twice) that we should clarify the matter with the Treasury otherwise we will be seen not to have been acting in good faith.

2.

-

As we conceded in our reply, I am frankly not sure what the Treasury meant by this sentence. My assumption was that they were harking back to a previous proposal that the Hong Kong Government should make over a lump sum. Mr Fish seems to think that they believe that the introduction of a sterling safeguard is a matter which properly falls to the Hong Kong Government and one they are trying toslough off onto us. I do not think this is clear cut. And in any event while it is HMG that feels the responsibility towards HMOCS officers, in previous colonies we have required the incoming independent governments to take on the burden even if we have in fact assumed the cost in the end.

-

3. I am not minded to take this up with the Treasury. you agree?

Do

CODE 18-77

M.

M V Stone

25 October 1991

CHAAFC

CONFIDENTIAL

Share This Page