TNAG-2621-FCO40-3812-Visits-by-Alastair-Goodlad--Minister-of-State-for-Foreign-an-1992 — Page 128

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group of about 200 Hong Kong children under Section 3 (1) of

the BNA 1981. Dr Leong approached both Mr Lloyd (Home Office) and Lord Caithness about this late last year. Mr Lloyds showed himself to be sympathetic to Dr Leong's

arguments and said that he would let him have his decision

after receiving advice from his officials. In the event the

matter was overtaken by the elections. We have now learnt that Home Office officials are advising their new Minister, Mr Wardle, to resist this proposal. Mr Goodlad has therefore written to Mr Wardle to make it clear that we believe that a negative response on this small but emotive issue would do disproportionate harm in Hong Kong, particularly on the eve of Mr Patten's arrival. This issue was also raised in the ICJ report (above).

HMOCS

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11. The wide gulf between HMOCS officers' demands (for the right to early retirement in 1997, full compensation and safeguards for pensions) and our (per force) very limited compensation/incentive proposals no early retirement, no promise of a pension safeguard and the bulk of any money only for those who continue post 1997 - continues to be a source of problems between HMG, HKG and the Treasury. Our aim is to agree a package sellable both in Parliament and in Hong Kong before Mr Patten takes up the Governorship early July. The Minister will be meeting representatives of the HMOCS Association: a chance for them to make their case and

for the Minister to undertake to do all he can to reach an

early solution.

Domestic Concerns.

12. People in Hong Kong are very concerned about the growth of violent crime (the programme includes a visit to a recent incident), smuggling, and on the economic side inflation, and signs that spending on the airport may drain funding

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