5.

CONFIDENTIAL

A.R.N

M

4&

E sti

(42)

FLA

Mr Wixford

PS/Mr Røyle

HONG KONG REGISTER OF SHIPPING

1. On my submission of 30 April, Mr Royle drew attention to

Mr Y K Pao's resentment that other ship owners were being con-

sulted.

2. At Mr Heseltine's meeting in Hong Kong, the Hong Kong ship

owners present, apart from Mr Y K Fao, were representatives of

CY Tung, Butterfield & Swire, Jardines, the Wah Kwong Company,

(who are mainly agents for American ship owners) and a single

representative of the Hong Kong Ship Owners Association None

(except, indirectly, the bast)

of these represent Taiwanese or mainland Chinese interests.

L

According to Mr Heseltine's Private Secretary, the most helpful

person, from the British point of view, was the representative

of the Wah Kwong. If Mr Y K Pao objected to the views expressed

by other ship owners at the meeting, it may therefore be thats because

his fellow Chinese did not ask for as much as he did.

Alternat-

ively, the difficulty, from his point of view, may have come

from Jardines and Butterfield & Swire. Mr Herries told me soon

after the meeting in Hong Kong that the two companies, with

their extensive UK links, shared some of the worries of the

British ship owners. If they expressed to Mr Pao their doubts

about the desirability of the Hong Kong Register, he might

indeed have resented their representatives' presence at the

meeting with Mr Heseltine.

CONFIDENTIAL

13.

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