Reference

completely unless he has some assurance that a long- term solution carrying similar advantages is forthcoming. With the best will in the world - either by variations in UK legislation or by Hong Kong "going it alone" it is highly unlikely that a long-term solution can be achieved in less than 2 or 3 years and I cannot see this being acceptable to Mr Pao. In short, therefore, I am by no means optimistic of the outcome.

Le

J A Clewley

Hong Kong Dept

Room K 245 MA 625

14 July 1971

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DD 737719 557664 500M 2/71 GM 3643/2

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