CONFIDENTIAL
3.
varying degrees of squatters rights just as much as compensation for resumption of the land of lease-holders (i.e. the people represented by the Kuk). Since the latter already receive $17 a square foot (i.e. about £100,000 an acre) their claims scarcely represent a pressing social problem, and if they were substantially met might have a limiting effect upon our housing and other social programmes in the New Territories. However none of this is ripe for mentioning in the reply to the Kuk.
9.
The second main theme of the petition relates to the restrictions, which are placed on New Territories land-owners, to use their land as they please. This is a fundamental principle of control of land use which must be retained. Without it the spread of haphazard development of all kinds, and of frightening proportions, would proceed unchecked. The legal position is somewhat uncertain and is described in the note annexed to this letter.
10.
The petition asks that the Kuk/New
Territories should be 'represented' in Legislative and Executive) Council. While I support the principle that someone with close personal knowledge of the New Territories should be appointed, though not in any sense as a formal
'representative of the New Territories, it will not be easy to find a suitable candidate. The integrity of the leaders of the Kuk is questionable and outside the Kuk there are as yet few other obvious leaders in the New Territories, though they will emerge in time. However I think this the most suitable field for some concession in the reply (para. 6 of your letter), and have included a passage in paragraph 8 of the draft accordingly In doing so I accept an obligation to recommend a suitable member for Leg. Co. this year.
11.
I would like to stress the importance of restoring the regular dialogue carried out by the Secretary for the New Territories with the Kuk in Hong Kong. The Kuk is led by a group of self-interested millionaires, for the most part speculators in land, and it would be most unwise to lose sight either of their self-interest, or of the effrontery of some of their assertions. The suggested reply, while maintaining the courtesies, is suitable robust.
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