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CONFIDENTIAL COVERING SECRET,

*HKK 10/9

Mr Stephenson

Stephenson

Reference

enson (Finance Department)

HONG KONG SNAKE FENCE AND BORDER WORKS

RECEIVED IN

REGISTRY No.51

- 7 AUG 1972

NKCIO

0/5

1.

We have now received the Treasury ruling on the dispute between MOD and ourselves. This is attached at 16. I should be very grateful for any comments you may have on the Treasury ruling before we submit to Mr Wilford.

2. On the face of it, the solution would appear to be reasonable from the FCO point of view, with the UK share of the snake fence being borne on MOD Votes. If, in addition, the MOD will agree not to pursue the claim against the Hong Kong Government in connection with the border works as suggested by the Treasury, we should be on fairly strong ground in asking the Hong Kong Government to pay their share of the snake fence.

3 August 1972

Miss Kafly.

P.M. Kelly

P M Kelly (Miss) Hong Kong and

Indian Ocean Department:

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The solyher proposed by the Treasing

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Wilford's

Lan

Finance Dept.

4 August 1972.

absence, should we

an apprrace from CONFIDENTIAL COVERING SECRET

Miss Kell

не под

PM Kelley 7/8

DO 897152 154596 500M 2/72 GM 3643/2

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