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The Hong Kong (Overseas Public Servants) (Retirement and Compensation) Order 1996

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Payment of compensation

11.—(1) Subject to article 13, the compensation due to an entitled officer under this Order shall be paid at his election either —

(a)as a single sum, in which case the sum payable will be the discounted lump sum calculated in accordance with article 7(5) or, as the case may be, the discounted maximum sum;

(b)in five instalments.

(2) Where the entitled officer elects to be paid the compensation due—

(a)as a single sum, the sum shall be paid on the appointed day or as soon as possible thereafter;

(b)in five instalments, the first instalment of one fifth of the compensation due shall be paid on the appointed day or as soon as possible thereafter.

(3) Subject as aforesaid, the remaining instalments of compensation shall be paid as follows:

  • one fourth of the compensation outstanding shall be paid on the first anniversary of the appointed day;

  • one third of the compensation outstanding shall be paid on the second anniversary of the appointed day;

  • one half of the compensation outstanding shall be paid on the third anniversary of the appointed day;

  • the balance of the compensation shall be paid on the fourth anniversary of the appointed day.

(4) If the amount of any compensation, or the balance of any compensation outstanding, on any date a payment is due is, without counting any sum payable in respect of interest under article 12, less than £10,000, the whole of that compensation or balance (without any reduction or discount) together with interest shall be paid on that date and no further payment shall be made in respect of the officer concerned.

(5) An election under this article shall be irrevocable.

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