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DATE 6.4.69

20/217171 H NO COMm.co 49.7-9

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CONFIDENTIAL

HWB

13/7

COMMONWEALTH OFFICE,

LONDON, S.W.1.

June, 1968

29

I am sorry about the delay in replying to your letter

(4/16) of 3 June.

We went to considerable trouble in the department to try and ensure that the print of Governor, Hong Kong's despatch No.239 of 13 February was issued together with the print of the Secretary of State's reply dated 28 May, since the two are clearly complementary. I am afraid that our efforts did not prevail, but

I cannot understand, how you came to receive only the later of these two prints! However, I now enclose two copies of the print of the Governor's despatch and apologise for the error.

Normally, I do not think we should see any objection to this exchange of correspondence being shown to the Americans but in this particular case, and subject to any views you may have, we (and this includes the Far Eastern Department) should prefer it if this were not done. There are two reasons for this. First, there is a slight difference of opinion between ourselves and Hong Kong over the assessement in paragraph 3 of the Secretary of State's despatch: they feel that we are being a littl optimistic. Second, paragraphs 29-31 of the Governor's despatch tend to give official form to the disagreement between Hong Kong and Her Majesty's Government over the vexed question of devaluation. We are not anxious to bring this official record of domestic discord to American notice.

(A.W. GAMENARA)

LAST REF.

(22)

REXT

REP

P.R. Spendlove Esq. British Embassy, Washington, D.C. U.S.A.

LAST PAPER

CONFIDENTIAL

PA.

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