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buy back years which would be taken into account in whatever compensation scheme was prepared. These could be between 100 and 150 in this category and another 40 who have not yet

opted.

(d) former contract officers and those who still have the right to opt (in effect the Judiciary) could complain that they were being discriminated against in not being allowed to count bought back service. (But 10 years service is a maximum factor in compensation schemes and our proposal does not discriminate for compensation purposes in favour of anyone who opted before the date of the ratification of the

Joint Declaration.)

6.

The defeating of reasonable expectations and retroactive consequences of the proposal would however give grounds for possible Parliamentary and public criticism and might be the subject of an application tor judicial review.

CONCLUSION

1.

But

There is a respectable argument that to apply the pensionable service criterion to bought back service would constitute a fortuitous and unjustified benefit to contract officers who opted after the ratification of the Joint Declaration, and an unjustified charge on public funds. in my judgement, if we apply this rigorous approach, we will certainly stir up further opposition among the Judiciary. We are not (yet) under pressure from the Treasury on the point, and the result would be to increase the overall bill

I therefore by a few million pounds in the years from 1997. conclude that we should follow precedent and allow bought back service to count, in the interests of facilitating agreement to the wider package.

PF Ricketts

JUDADE/8

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