CYPHER/CAT A

IMELO LATE

TELEGRAM NUMOSŁ EXCED 22

CONFIDENTIAL

TO FOREIGN AND COMMOTENTIAL TH OFFICE

54

10 FEBRUARY 1969

*O ID

Хорих н

ADVANCE

hi A Gatmenthy

itd. H ECED

CRE вот

ADDRESSED LONDON FOR E.C.G.D. AS EXCED 22 OF 10TH FERTUARY &

RFI F.0.0. AND C.R.E. BOARD OF TRACE.

FRO HAI

CROSS HARBOUR TUMEI,

THE CROKEND HAS PRODUCED SOME ILPORTANT DEVELOPMENTS IN THE

TUNNEL PICTURE AND HATTERS MUST SURELY COME TO A HEAD SOON.

2. FIRSTLY, CLAQUE HAS OBTAINED ON THE TELEPHONE A REVISED

FIR PRICE FROM CUSTA LIS. I UNDERSTAND THAT THIS HOLDS FOR

TWO MONTHS, AD THAT IT IS DISTRICTLY HIGHER THAN THEIR

PREVIOUS PRICES.

3. SECONDLY, THE FRENCH OFFER BROKE 18 THE PRESS HERE ON

SUNDAY, SPECIAL EMPHASIS BEING PLACO ON THE FACT THAT THEY

DO NOT ASK FOR A HORG MONG GOVERNMENT QUARANTEC.

THIRDLY, MIS PURLICITY SMOKED OUT CLAGUS'S RESERVE RUNNER

WHO PREVED TO BE IN HONG KONG AND WHO TURRED OUT TO BE

THE TOM RILLS BROKERANE COMPANY OF CHICAGO WHO CALLED A PRESS

CONFERENCE AND SAID THAT HIS COMPANY HAD ARRANGED FINANCE

FOR THE TUNIEL TO THE TUME OF 0.5. DOLLARS 34 MILLION FOR

A 20-YEAR PERIOD AT 6 AND A HALF PER CENT WITHOUT ANY BANK

OR GOVERNMENT GUARANTEE. CLAGUE CONFIRAB) TO HE THAT THIS WAS

TRUE,

5*

FOURTHLY, I ASKED CLAQUE WHETHER ANYTHING FRESH WAS KHOWN

ABOUT THE SWISS OFFER MUJTIONED PAZVIOUSLY IN NY TELEPHAN

EXCSD 129. HE SAID THAT HE EXPECTED THIS ALGO TO RE ARRANGED

WITHIN 48 HOURS. HE WOULD GIVE NG DETAILS EXCEPT THA THE

OFFER WOULD BE SIMILAR TO THE AMERICAN ONG, AND HOLLO of

COURSE DE OFFER WIToul accUIRED, HONG KONG GOVERNIGHT OR

,, *4 REQUIRI

1

HONG KONG AND SHANGHAI BANK GUARANTEE.

6. FIFTHLY, YOU WILL HAVE SEEN KADOORTE'S LATTER OF 7 PHZRUARY

TO CLAQUE COPIED TO LORD SHEPHERD EXPRESSING MIG BITTER

DICAPPOINTMENT AT E.C.G.D.'O ATTITUDA AND THY ATENING THAT -

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