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The Home and Social Affairs Committee Sub-Committee on AIDS met and decided to make an ex gratia payment of £10 million to be administered by the Haemophilia Society (which led to the establishment of the Macfarlane Trust).

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C Lugton, official at Scottish Home and Health Department (SHHD), wrote to Malcolm Harris at the Department of Health and Social Security regarding the grant to the Haemophilia Society. He stated there was no possibility of the SHHD making any significant contribution to the setting up or running of the structure that would ensure the grant was efficiently administered.

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George Tucker, assistant secretary in the SHHD, drafted a memo to PS/Michael Forsyth, recording the announcement by the Secretary of State for Health of a further payment to the Macfarlane Trust was taken without prior consultation with or the agreement of the SHHD (or the other health departments). Furthermore, the Welsh Office and the Northern Ireland Office had agreed to contribute.

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Amidst HIV litigation claims issued against Scottish health boards, the Scottish National Blood Transfusion Service and the Secretary of State for Scotland, defences were filed on behalf of Lothian Health Board and Scottish National Blood Transfusion Service.

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At a meeting between the SHHD and SNBTS, Professor John Cash claimed that it would have been a "logistic impossibility" to have substituted cryoprecipitate for Factor 8, and that the "professional view" was that the risk did not justify such substitution

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S Lindsay sent a memo to Robert Panton stating "all defenders" of AIDS/haemophilic actions appeared to hold the view that the actions should be resisted.

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HIV litigation claims against Scottish health boards, the Scottish National Blood Transfusion Service and the Secretary of State for Scotland came to the attention of Michael Forsyth after a report in the Daily Record.

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The Daily Record carried an article "You Gave Us AIDS!" setting out details of claims for compensation.

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A memo from Duncan Macniven informed Michael Forsyth that the Secretary of State had been served with 13 summonses relating to HIV litigation and work was being undertaken to prepare defences.

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The chairman of the Scottish Haemophilia/HIV Litigation Group wrote to the Secretary of State for Scotland to convey the Group's dismay that the Government had agreed in principle to proposals to settle the HIV litigation. He pointed out there were clear differences between the litigation in Scotland and England.

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Richard Henderson (Solicitor for the Scottish Office) wrote to George Tucker warning of a "political problem" if timescales for HIV settlement discussions in Scotland were the same as expected for England.

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George Tucker sent a memo to ministers in which he conveyed the concern that the terms of settlement as advanced in England and Wales did not have regard to the situation of the Scottish claimants.

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George Tucker recalled in his witness statement that despite the lack of consultation with the Scottish Office regarding proposals to settle the HIV litigation, the approach at SHHD was to cooperate with the Department of Health.

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Ian Lang wrote to William Waldegrave (Secretary of State for Health) requesting some flexibility for the Scotland position with regard to proposals to settle the HIV litigation.

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HIV compensation claims in Scotland were eventually settled, on terms similar, although not identical, to those in England and Wales.

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William Waldegrave announced that the "special provision" already made for people with haemophilia infected with HIV would be extended to those infected with HIV as a result of blood transfusion or tissue transfer in the UK.

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Dr Archibald McIntyre, Principal Medical Officer within the SHHD, recorded the Government's position on extending the ex-gratia scheme, namely, there was no intention to extend the scheme to other groups.

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Derek Bearhop, assistant private secretary to Michael Forsyth, wrote to George Tucker requesting consideration be given to the extension of the ex-gratia scheme to those infected with the HIV virus through blood transfusion.

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George Tucker's reply to Derek Bearhop's memo of 29 January 1990 stated people with haemophilia differed from recipients of blood transfusions. A handwritten note on document records Michael Forsyth's view that the arguments set out in the reply "do not stand up".

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Derek Bearhop replied to George Tucker's memo of 6 February 1990 setting out Michael Forsyth's view on the arguments made that people with haemophilia differed from recipients of blood transfusions infected with HIV.

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