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4.

and

Hong Kong Executive Council will consider the bids next

week. If the Governor accepts Mr Walker's message there is no

problem.But if he does not/there is a real possibility of Executive

Council refusing to validate the Anglo-Italian bid, we will have to

intervene. If therefore, but only if, the Governor tells us that

Mr Walker's message is not enough, I think we will need a message

from the Secretary of State.

5. I submit a draft of such a message on a contingency basis.

This would not be sent without further consultation with Mr Royle

and unless the Governor's response required it. But I would be

grateful if it could be approved now for use if the need arises.

6 December 1973

C

Dest

A C Stuart

Hong Kong & Indian Ocean Dept.

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6/12.

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