CONFIDENTIAL

THIS DOCUMENT IS THE PROPERTY OF HER BRITANNIC MAJESTY'S GOVERNMENT

PMV (HK)(74)15

14 December 1973

PRIME MINISTER'S VISIT TO HONG KONG

12th-14th JANUARY, 1974

KOWLOON WALLED CITY

Brief by Foreign and Commonwealth Office

COPY NO 56

1. The Walled City is now neither walled nor a city; it is a

61 acre area of densely-packed tenement slums near Kaitak Airport

in Kowloon, with an estimated population of some 40,000. The

Chinese claim that the Walled City falls outside Hong Kong

jurisdiction. The basis of this claim is a provision in the

second Convention of Peking of 1898 (under which the New Territories

were leased) which reads: "Within the city of Kowloon the Chinese

officials now stationed there shall continue to exercise

jurisdiction except so far as may be inconsistent with the military

requirements for the defence of Hong Kong".

2. HMG unilaterally abrogated this provision by Order in Council

in 1899 on the grounds that military requirements demanded it.

From time to time there has been trouble over this. The Government

of the People's Republic ignored the issue from 1949. They then

issued a statement protesting strongly about a clearance and

resettlement scheme involving part of the Walled City. There were

incidents in 1970 and 1971 when the local communists tried to

assert their authority on the basis of the Chinese Government's

statement of 1963.

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