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Seautyphy of State SEORET Semesting

Mr. Macy 111gan To sen

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HW B10/6

Hong Kong: Exercise Caricature

Your minute of 6th February to Mr. Reed.

The Chiefs of Staff yesterday decided to

cancel the exercise, after hearing the views of

the Foreign and Commonwealth Offices.

They did

so with great reluctance since from a purely

military point of view it was an important one.

3. Some military value could still be derived

if the forces involved were to be allowed to

proceed to Hong Kong for minor training activities

and rest and recreation (as envisaged in the last

sentence of para.9 of H.K. telegram No.153).

The proposals training

abright of a favorable

cle. sam

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We

agreed to explore this possibility with the Governor

Hong Kong, and Charge d'Affaires in Peking (C.O. tel.

No.241 to Hong Kong) and the Governor has replied

that he sees no objection (H.K. telegram No.173).

We await Peking's reply.

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Peting

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4.

From

If there is a favourable reply from Peking we

propose, subject to further consultation with the

Foreign Office, to agree to this compromise.

the point of view of boosting local morale (shaken

by events in Macao and by defence cuts) there is

much to commend a visit by these forces at the

present time. It was the "scenario" of the exercise

and the consequent pitch of military activity, rather

than the presence in Hong Kong of the forces

involved, that led to our doubts about Chinese

reactions.

bes. Canber

S.

(W. S. Carter)

Hong Kong & West Indian

'C' Department

18.

73

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