CONFIDENTIAL
HK=10D.
Mr Youde
Youge
HONG KONG
1.
REC
REGIS...
16 JAN 1974
I attach as requested for Mr Blaker a copy of the Steering Brief for the Prime Minister's visit with the background note on Hong Kong and the short Personalities List.
2.
There have been the following developments since the Steering Brief was drafted:
(a) Mass Transit System
I have submitted a draft message from the Secretary of State to the Prime Minister as discussed with Mr Royle;
(b) Air Services (paragraph 24)
The negotiations with the Scandinavians have broken down on the question of compensation.
seems likely;
No immediate progress
(c) Register of Shipping (paragraph 26)
The DTI team have returned and are drafting their report. The DTI are still under pressure from the Prime Minister to find an acceptable solution;
(d) Death Penalty (paragraph 28)
The case of Liu Chu which we have now received is likely to be the crunch. The Department and the FCO Legal Advisers can see no grounds for commutation if the death penalty is to be retained in Hong Kong. The Governor has asked for our preliminary comments on the facts of the case by 12 January. But he will not be consulting informally with Executive Council until 29 January, and his formal decision would not be taken for eight weeks thereafter. We therefore have a little time to consider the wider implications;
(e) Corruption (paragraph 32)
Hong Kong have now told us what changes in the law they want to make as a result of the Blair-Kerr Commission. These give us no trouble apart from the proposal that an officer who has been acquitted by a court could nevertheless be retired with a reduced pension on the same facts. The implications of this proposal are still being discussed by the departments concerned;
CONFIDENTIAL
(f) ..