7.

44.

I told Mr. Benson that I was concerned about this sort of allegation because I was concerned about our repu- tation. We believe in negotiating honestly and don't try to mislead people.

45.

Mr. Benson too was a little embarrassed and defensive over Rodney Grey's tactics and confirmed that our reputation with the Canadian Government stands pretty high. As long as we are reasonable I think Howarth would oppose and Grey would have a bit of difficulty in persuading Benson to drop a surcharge on us. Benson has been so definite on this that he would need a strong case to justify a reversal.

(D.H. Jordan)

Commerce and Industry Department, Hong Kong

26th July, 1969

Distribution:

CR/EIC.191/5/11/1 ΤΙ CR/EIC.191/3/3

D.E.S.

B.H.C., Canada D.D.C.R.

A.R.

III

A.E.

A. L.

A.G.

A.W.

A.B.

Director

S.T.R.

T.O.R.(2) A.T.R.(2)

.R. (2)

10 spare (to be kept by D.D.C.R.'s secretary)

RESTRICTED

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