be particularly sensitive jurisdiction over the

education

Walled City and Communist schools in the Colony. If we

were to take these measures we should be extending

Government authority into educational activities in the

Walled City, where hitherto our intervention has been

minimal. We might also be obliged ultimately to close

Durandh

some of the schools; /past experience has shown all too

clearly that this is one issue on which the Chinese

Government feels its interests to be affected directly.

Indeed, the Chinese would be alarmed and deeply

suspicious about why we should have chosen to demon-

strate the authority of the Hong Kong Government

Settor

sensitive

extend

are a

precisely in an area which they insist is an important

Frards

indicator of our real attitude towards Hong Kong-

Chinese relations. In any case, action to increase

fire protection should be seen plainly to be non-

discriminatory and action against Communiet schools

preferably should be prefaced by making an example of

or two

one of the independent schools without Communist

But however deftly

connections (if such there of five

But even then measures prooch the prostem

to close Communist schools in the Walled City would

still carry a substantial risk of an adverse Chinese

reaction.

4.

Though the idea is an attractive one, we do not

think that it would be prudent to discuss this problem

in advance with the Chinese through our covert channels

The Chinese would feel obliged to adopt a tough

position on such a sensitive issue, and would be

unlikely to concede us any freedom of manoeuvre.

Ir is possible to

I which

5.

There is the argument that improvements in the

conditions of schools in the Walled City, is to the

advantage of the local community, s that the Chinese

Government would hardly wish to make an issue of these-

I think the Govorno said that there were non communist Schools in the walled city

HWs he

/proposals.

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