inquiry into the circumstance of Mr Godber's

departure; and then secondly to consider whether

any changes in the law or current arrangements

were required.

His first report, which was

published in July, contained recommendations

for closing certain loopholes in the law and in

security at the airport. These have been

accepted. The Governor is now urgently

considering a number of further recommendations

made subsequently by Sir Alastair.

We are of course very concerned about these

allegations of corruption in Hong Kong. But

this is a problem which must be dealt with

primarily by the Hong Kong Government.

Tony Royle has, however, had extensive

discussions with the/Governor recently about how

the problem should be tackled. Fean assure

you that the Governor is taking, and intends to

take, firm measures.

1.J.R.

8/x/73

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