CONNDENTIAL

DEPARTMENT OF THE ENVIRONMENT

MX IN I S T B X xxxx

PAU BAXIXXXX KMAXIDIKKO XXXNXXWWORKS

LAMBETH BRIDGE HOUSE, LONDON S.E.I

Telephone: 01-735 7611 EXT 2188

Our Ref: DSO 1112/30 Pt 3

123

A W Gaminara Esq

Hong Kong Department

Foreign and Commonwealth Office

London SW1

Dear Gaminara

HONG KONG DEFENCE AGREEMENT

28 October 1971

I enclose for your information a copy of a signal we have just received from our Regional Director in Hong Kong.

It indicates that the Hong Kong Government is now trying to change the sense

of the terms of the new agreement.

Para 3(A) of Tel No 528 of 3 August 71 from Hong Kong reads:-

(A) That in authorizing capital works maintenance scales, and minor works the same criteria and controls would be exercised as if HMG were paying.

The proposal to judge whether or not a works service is chargeable to the £17 million by criteria other than appropriate British Service scales is simply in breach of the Agreement and is quite unacceptable from our point of view.

We await a further report from the Regional Director.

I send copies to Thorp and Brack.

Yours sincerely ержить

RECEIVED IN REGISTRY No.51 12 NOV 1971

HICKI6/2

CONF

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