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D7.

Lu Ping told a delegation of the Staff Side of the General Disciplined Services Council that Civil Service pensions were protected by law and would be covered in the budget of the SARG. He said the Chinese side had raised the question of a pension fund in the JLG. He added that with HK$25bn provided for by the Airport MoU and a land fund of HK$70-80bn by 1997, the SARG, although not very well off, could afford to meet pension payments. Lu said

that civil servants should be apolitical, according to the

present system. He accused the Governor of forcing some senior civil servants to indicate their stance on political

issues, saying this was not in accordance with the present system. As civil servants were carrying out their duties according to the law, the question of penalising or discriminating against civil servants after 1997 did not

arise (HK press 3 March 1993).

D8.

Lu Ping was quoted as having said that China's position on civil servants was consistent and would not change. There was no question of reprisals after 1997. In response to a question on senior officials in sensitive positions promoting the Governor's package, Lu said there would be no problem if they acted according to the law (HK

press 17 May 1993).

D9.

Lu Ping said that the HKG's move to allow

expatriate officials to apply to renew their contracts

under local terms involved a major change to the Civil

Service system and the Chinese side should be consulted in

the JLG (Hong Kong press 7 August 1993).

D10.

Lu Ping accused the Governor of creating a split

in the civil service, adding that expatriates as well as

Chinese civil servants were feeling uncertain and that this

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