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2

(c) In view of earlier exchanges on the same subject,

2.

the Chinese can be in no doubt that these concessiona

are being made in expectation of a quid pro quo in

the form of a visit to Mr. Grey.

In reply Er. Hsueh, Deputy Head of the Western European

Department of the Chinese Ministry of Foreign Affairs, com- plained of the delay in our reply to the original Chinese request. He agreed that the detailed arrangements for visits should be made in Hong Kong and that only matters of principle

should be discussed in Peking. He did not know how many

Journalists would be involved but did not regard this as a

problem.

3. Kr. Hauch complained that the Bank of China in Hong Kong had reported that obstructions had been placed in their way when they were making visits to some of their employees in prison. He clarified this by saying that gifts of fruit and sweetmeats had been taken for the prisoners but that the

prisoners were not allowed to receive them. He complained

also that the diet and clothing of the prisoners was inade-

quate. Sir D. Hopson denied this, pointing out that most prisoners gained weight during their stay in gaol and insisted that prison rules must be observed when visits were made.

4. We now avait the New China News Agency approach to the

authorities in Hong Kong to arrange details about the visits. 5. It is possibla that the Chinese may make further diffi-

It culties about, for example, taking in food and clothing. may even be the case that they have no real intention of

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/agreeing

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