TNAG-2192-FCO40-3129-Hong-Kong-nationality-package-1990 — Page 9

BACKGROUND

REFERENCES

SECRET

(E191)

A:

B:

C:

D:

OD (K) (90) 2

Mr Powell's letter of 5 March to Private Secretary.

Mr Powell's letter of 6 March to Private Secretary.

Home Secretary's Minute of 7 March to the Prime Minister.

Home Secretary's letter of 7 March to Secretary of State.

Mr Powell's letter of 8 March to Home Secretary.

Home Secretary's minute of 12 March to the Prime Minister.

Mr Powell's letter of 13 March to PS/Home Office.

Defence Secretary's Minute of 6 March to Home Secretary.

Governor's telno 892.

E:

F:

G:

H:

I:

J:

K:

L:

M:

Mr Paul's minute of 12 March to PS/Mr Maude

Letter of 5 March from the Director of the British Council.

Secretary of State's Statement of 20 December

Approved Secondment Scheme (ASS)

1. The OD(K) paper sets out the pros and cons of a citizenship based ASS, within the 50,000 ceiling. We also explored with the

Home Office the possibility of an alternative which does not involve primary legislation. It would be possible to devise a scheme under

which the prize would be an Entry Certificate. But to make

sense such a scheme would have to be additional to the 50,000 (in

which case there would be the political problem of having created a "loop hole" - a means of getting round the 50,000 ceiling). If it

were not additional, however, there would be the equally difficult

problem that, in the eyes of Captains of industry, we had diluted

the package originally announced by offering a lesser prize than

passports to beneficiaries under the Scheme.

2. Our Legal Advisers (who have not so far been able to obtain a

copy of the complete draft Bill from the Home Office) see no reason.

why the inclusion of the ASS should lengthen the Bill, as the OD(K)

paper suggests. They believe that the ASS could be included in the

subordinate legislation, as is the intention with the rest of the

package.

KIPACP (6)

SECRET