In the

disturbances in 1967. The work on the

posts (Exercise "Highland" Bonnet") was carried

out by the Military authorities without

consulting the Hong Kong Government.

view of that Government the costs must be

taken "as deriving largely if not wholly

from works concerned with external defence

and that as external defence measures are a

commitment on HMG there was no

cause for

the Hong Kong Government to reimburse the

costs. The works earth works, bunkers

and observation posts for the most part

were entirely connected with the Military

presence on the border. When they were

commissioned, no arrangements on how they

were to be financed were agreed......."

"During the mid 60's circumstances on the

border were such that only a limited

Military presence was necessary.

When the

external situation deteriorated in 1967 the

Army moved back into the area and found many

positions

of their defensive possessions were in a bad

state of repair; and also such was the

external threat at that time, additional positions Possessions were necessary. The Military

the exercise

put in train the works they required under) "Highland Bonnet" They did so, rightly,

without consulting the Hong Kong Government. All the works were essentially of a Military

nature, designed to meet armed aggression

across the frontier. In the circumstances

in accordance with previous practice it

3.

/seemed

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