CONFT BEAFI AL

4

appeared in the two most recent "Daily Telegraph" weekend

magazines, while he was in or near China.

C.

Mr. George fatt

9. On 12 March the Chineco made public through the Now.

China News Agency that Mr. Coorge Watt, a British engineer

working for Vickers-Zimmer Limited on a project for the con-

struction of a polypropylene plant in Lanchow in North-West

China, was being held on charges of espionage, and a further

release of 16 March reported that the Lanchow Municipal

Intermediate People's Court had sentenced Mr. Matt on the

previous day to three years' imprisonment. At the same time,

Mr. Deckert, a German subject employed on the same plant and

similarly charged, was sentenced to be deported from China.

He has since arrived in Europe. On learning of Mr. Watt's

sentence tho Chargé d'Affaires in Peking hao again applied

for consular access and has asked for details of the charges

against Mr. Tatt. No reply has yet been received.

10. Fr. Watt and Mr. Deckart had been detained in their hotel

in Lanchow since September last, but until the Chineso

announcement of 12 March it had not been possible to obtain

any information, despite repeated approaches by the Chargé

d'Affaires and by Vickers-Zinner, except that they had boen

engaged in activities "outside the scope of their contracts".

Publicity had been avoided on our part and by the firm because

of the risk that it would push the Chinese into the action

they have now taken. As far as we know, the only basis for

the Chinese charges is the fact that Kr. att may have taken

/photographs

CONFIDENTIAL

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