OVER THEIR VIEWS, LOCAL CONFIDENCE IN THE HONG KONG ADMINISTRATION
MUST BE AFFECTED. IT MAY BE REGRETTED THAT THEY DID NOT ... FRESS
THEIR CLAIMS WITH THE PRIME MINISTER ... BUT THAT MAY BE POSSIBLE
TWO WEEKS HENCE'. 'THERE CAN BE NO QUESTION OF BRITAIN DICTATING
TO HONG KONG'. WHATEVER THE VIEWS ON GUARANTEES FOR OTHER STERLING
HOLDERS 'HONG KONG'S IS A SPECIAL CASE WHICH REQUIRES A NEGOTIATED
AGREEMENT' HONG KONG HAS NO INTENTION OF RATTING ON THE POUND
NOW OR IN THE FUTURE BUT THE RIGHT TO BE FLEXIBLE WITH OUR RESERVES
IS BASIC TO OUR HARD-WON ECONOMIC SECURITY'.
>
2
'STAR'
WHICH HAS A REPUTATION FOR SENSATIONALISM AND FLAILING
AT WINDMILLS HAS EDITORIAL UNDER HEADING BRINGING H.K. TO THE
BOIL' WHICH SAYS 'THERE COULD BE SOCIAL UNREST IF WHITEHALL OR
WESTMINSTER ATTEMPT TO HANDLE US HIGH HANDEDLY' AND WARNS VE
COULD SINK THE FLOATING POUND IN HUMILIATING BANKRUPTCY IF WE HAD
TO SELL OUR POUNDS STERLING 900 M'. IT SEES BEST SOLUTION AS
'TO STRENGTHEN NOT SINK THE CURRENCY IN WHICH WE HAVE INVESTED'
BUT WE WANT GUARANTEES OR A CHOICE, NOT MORE RISKS WE ARE NOT
GOING TO SUBSIDISE FOR ENGLISHMEN A BETTER STANDARD OF LIVING THAN
WE HAVE FOR CURSELVES NOR HELP A NATION THAT IMPOSES ON US·
INCREASING TRADE AND IMMIGRATION RESTRICTIONS'
STAR EDITORIAL THEN LISTS NUMBER OF WAYS IN WHICH WHITEHALL HAS
HELPED CREATE HONG KONG'S INTERNAL PROBLEMS' INCLUDING ALLEGATION
OF INEFFICIENCY OF ADMINISTRATION RUN BY WHITEHALL AND ITS
NOMINEES, GRAFT AMONG SENIOR BRITISH CIVIL SERVANTS, NOT EXTRADITING
GODBER AND NOT HANGING TSOI, AND HELPING TO CAUSE THE STOCK EXCHANGE
3m
/BOOM