CONFIDENTIAL -2-
5. IN THE COURSE OF CONSULTATIONS BETWEEN HMG AND THE HONG KONG GOVERNMENT ON THE POLICIES TO BE FOLLOWED IN ANY SITUATION WHERE A CONFLICT OF INTERESTS IS LIKELY TO ARISE, THE FOLLOWING PRINCIPLES WILL BE OBSERVED:
(A) IT IS RECOGNISED THAT THERE IS NO INHERENT NECESSITY FOR THE POLICIES FOLLOWED BY HMG AND THE HONG KONG GOVERNMENT ALWAYS TO BE INDENTICAL AND THAT CIRCUMSTANCES MAY ON OCCASIONS REQUIRE DIVERGENT POLICIES TO BE FOLLOWED.
(B) FULL WEIGHT WILL BE GIVEN TO THE POSSIBLE CONSEQUENCES FOR EITHER PARTY OF FOLLOWING ANY OF THE ALTERNATIVE POLICIES UNDER CONSIDERATION.
(C)
WHERE IT IS PROPOSED THAT ANY NEW BRITISH INTERNATIONAL COMMERCIAL POLICY OR MODIFICATION OF SUCH POLICY SHOULD BE FOLLOWED BY HONG KONG, THE HONG KONG GOVERNMENT WILL BE CONSULTED AND ITS COMMENTS INVITED FROM THE EARLIEST PRACTICABLE STAGE AND THEREAFTER DURING THE FORMULATION AND DETERMINATION OF SUCH POLICY. (D) WHERE NO AGREEMENT CAN BE REACHED AT OFFICIAL LEVEL ON POLICY ISSUES OF SUBSTANCE, AND IT IS CONSEQUENTLY BEING PROPOSED THAT A POLICY WITH WHICH THE HONG KONG GOVERNMENT DISAGREES SHOULD BE FOLLOWED BY HONG KONG, THE VIEWS AND ADVISE OF THAT GOVERNMENT IN ITS OWN WORDS IF IT SO WISHES, SHOULD BE PLACED BEFORE THE MINISTERS CONCERNED.
(E) IN THE COURSE OF THE CONSULTATIONS, HMG WILL INDICATE TO THE HONG KONG GOVERNMENT THE REASONS FOR ADOPTING THE POLICY IT PROPOSES.
CONFIDENTIAL
/6. IN
*