1:

(and elsewhere) at risk.

5 CONFIDENTIAL

Mr. Maw urged that notwithstanding

this HMG should respond to such an offer if it were made

by the Chinese.

9.

Reverting to what we were doing to secure the release

of Mr. Grey, Lord Shepherd explained why we had to tread so

carefully. He pointed out that if we created too much of

a fuss about Mr. Grey's confinement the Chinese might be

tempted, in order to put a respectable gloss on their

action,/charge him before their Courts with some specific

crime, find him guilty and put him in prison for a definite

term. If this were to happen our hands would be tied still

further.

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10. Mr. Maw asked whether HMG had any bargaining counter.

For example, could we take similar action against any

Chinese? Lord Shepherd said that this was not a realistic

possibility. There were some who said, "Why not arrest

the members of the NCNA in London?" But no doubt the

Chinese Government would regard these people as being expendable and the danger of more savage reprisals against

British nationals in China ould not be ruled out.

11. Mrs. Grey asked whether Lord Shepherd thought that her

son was in any physical danger. Lord Shepherd said that

he was convinced that the Chinese would do nothing to harm

him. Her son was now known internationally and he doubted whether the Chinese would do anything which would bring world opinion firmly against them. Mr. Maw concurred in

this.

CONFIDENTIAL

/12.

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