''They're devastated,'' said Mr. Foundas. Too old to take the firefighters' test again, he said, ''they have a skill that isn't marketable in the outside world.'' The twins, who live with their wives and children in the suburb of Milton, have declined to comment.

The Malones' attorney said that when they took the Civil Service test in 1977, the only criterion for racial classification was self-description. ''They made a good-faith claim and were always listed as black,'' he said. ''It was never questioned, even in the 1980's, when there were layoffs and race was relevant. For the Fire Department to say it just discovered this is not accurate.''

Mr. Foundas said that the Malones' hiring did not harm black and Hispanic applicants who might otherwise have won jobs as firefighters. ''Back then, they were recruiting because they ran out of minorities on the list,'' he said of the Fire Department. 'They Aren't Innocent Victims'

But Margaret L. Dale, general counsel for the state personnel agency, said, ''If they hadn't been hired we would have sent other minority names for consideration.''

And Toni G. Wolfman, a lawyer who represents black and Hispanic Civil Service applicants, said of the Malones: ''They aren't innocent victims; they just got away with it, and the ones who chose to ignore them are equally culpable.'' In the 1970's, she said, Fire Department officials were inclined to look the other way; they ''clearly manipulated the system because they weren't interested in hiring minorities.''

City Councillor Bolling said: ''I understand it was common knowledge in the department that the Malones weren't black. It was a joke.''

Under current rules, said Ms. Dale, candidates who say they are members of minority groups are judged by appearance, documented personal history and identification with a minority community. Disputes over claims of minority status are resolved by the Department of Personnel Administration. Longstanding Concern