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lu. Carter

N.. Gaminara

1227)

Mr. Moreton

PROBLEM

Mr. Anthony Grev of Reuters

For some time we have been proceeding on the assumption that we could not now expect the release of Mr. Grey until all eleven Communist newsworkers in prison in Hong Kong had been released, but that thereafter the

Chinese would release Mr. Grey. Ten of the newsworkers are due out with remission in September. The Governor of Hong Kong on about 9 Xay will be announcing his acceptance

of a recommendation of the Review Board that the sentence of

the eleventh, Yong Chak, should be reduced from five years to three years, with the result that the latter will be out with remission on 4 October. Thus there is a reasonable expec-

tation that Mr. Grey will be out in October,

Is it right

to let matters take their course until then?

RECOMMENDATION

2. I recommend that Lord Shepherd during his forthcoming visit to Hong Kong should discuss with the Governor the feasibility of the release of at any rate ten of the prisoners about the end of July. We might give the Governor advance notice. But it might be best to wait about a week after the announcement covering Wong Chuk on 9 May, so that we can take account of any reactions to it. Hong Kong Department concur.

ARGUMENT

3. đe have hitherto seen four dangers in the premature release of convicted prisoners in Hong Kong.

a)

We believed that it would damage public confidence in the Colony. It would be interpreted by the local communists as the "kowtow" the Chinese had been seeking.

We should thus be tacitly acknowledging their ability to influence events in the Colony at their whim. Mr. Long, General Manager of Reuters, on the other hand has argued that release of the newsworkers could equally be presented as an act of strength demonstrating that the Governor,

successful in his "confrontation" policy, had sufficient

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