SECRET & PERSONAL

of 9 April 1969 to Bunny Carter you

said tha refer to the

D

fence assing a separate issue (I am not clear what

you meant by the and in his letter of 2 October 197

Jeaffreson saidy

A

"we consider the fence to be a matter of external

rather than internal security and thus a proper

charge to HM Government."

roch

epp out, ith the

and went on to ask us to take up the matter with the

is mar

Treasury on Hong Kong's behalf.

Since by that time

we were well into the negotiations over the defence

contribution we decided that it would be wiser from

everyone's point of view not to run the risk of

complicating those already difficult negotiations by

introducing this extraneous factor. Accordingly the

present position is that we have not yet raised the

M.P.4/1

matter with the Treasury but we she now have to

the Treesing

de sol(together with the other outstanding items)

мод

since we are being hard pressed by the Ministry of

Defonee for reimbursement of their votes; y purpose

votes; My purpose

in writing to you now is to let you know how we in

the FCO view the situation and to agree with you

the line we should take in our discussions with the

Treasury.

5. The Frontier Fence. Our information of the

Les

Wass

circumstances in which the fence came to be built is

colo

confined to that given in Hong Kong telegram number

1320 of 29 August 1967. Frankly, we are not at all

happy about Hong Kong's position over this item.

it was Although the Hong Kong telegram in question stated

that "the object of this obstacle will be to stop

land incursions of all kinds" there seems to us to be

little doubt that the primary purpose of the fence

2.

SECRET & PERSONAL

/was

E

NOTHING TO BE WRITTEN IN THIS MARGIN

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