WIB'L 51-7433

NOTHING TO BE WRITTEN IN THIS MARGIN

CONFIDENTIAL

DRAFT B

Registry

No. HWB 21/5

DRAFT LETTER

Type 1 +

SECURITY CLASSIFICATION

To:-

From

Top Secret

RexrLXX

Confidential.

Reskiatedx Unclassifiedy

PRIVACY MARKING

Copy to:

C.C. Lucas, Esq.,

H.. Treasury

together with a copy of Lord

Shepherd's letter of 31 July and of Lord Brown's letter

of 27 August.

In Confidence

The Lord Brown, MBE.,

Board of Trade

Lord Shepherd

Telephone No. & Ext.

Department

I am sorry not to have replied earlier to

your letter of 27 August about the Hong Kong

Tunnel; this is due to my absence on holiday.

It seems to me a great pity that it should

be considered necessary to take special cover

against a political risk in this case. You

will have seen the opinion of our legal

advisers about access to Hong Kong assets in the

United Kingdom, as communicated to E.C.G.D.

Without a Hong Kong Government guarantee

(of which there can now, I am sure, be no

possibility) there seems no way of providing

the right of access E.C.G.D. is looking for.

I regret that there is nothing we can do to

help in this respect.

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