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altogether. He quoted a survey, which concluded that only 37% of those polled would prefer 7 continuous days and that 63% wanted the right to choose. He stressed that they did not want to regiment people and in this they were supported by at least one union leader.

7.

Mr Stewart said that although the Secretary of State was ultimately responsible for the colony, the Governor, with the Legislative and Executive Councils, had the power to govern the colony effectively and he (Mr Stewart) could not dictate to the Governor. Mr LEE noted that the Chinese Manufacturers Association worked closely with 300 other organisations to formulate public opinion.

8. Mr Stewart emphasised that he was very concerned at the corruption in Hong Kong and spent a long time during his visits there with Mr Cater and the Chief of Police. Mr LEE stated that he wished that the Government could stamp out corruption in the police without affecting the commercial world since there was a difference in standards between public servants, who occupied positions of authority, and private bodies. He said that big firms could give bribes elsewhere but not in Hong Kong, where even tips in restaurants, according to the letter of the law, were suspect. He agreed that the onus of proof should be on the accused if he was a public servant but that this should not apply to the commercial sector.

9. Mr LEE Ho-lap complained about the large increase in rates after the Urbco elections which, he said, created much bad feeling. He believed that workers, if given 7 days continuous holiday, would take another job elsewhere, which would create disruption. He agreed that the present law against bribery was good but competition from Korea and Taiwan, where there were kickbacks, was immense. There were also other ways of exerting pressure. He concluded that the public in Hong Kong believed that Exco and Legco were influenced by the UK Government and that people should be made more aware of their rights.

10.

Mr Stewart agreed that he was made aware of this widespread impression when he visited Hong Kong. However, he knew of no legis- lation passed in Hong Kong which originated in the UK. He conceded that some areas might be drawn to the attention of Hong Kong and cited the ILO Conventions. Mr LEE Ho-lap added that the common view in Hong Kong was that all unpopular legislation emanated from the UK.

11. Mr Stewart emphasised that he visited Hong Kong twice a year and learned a lot from meeting many people. He also received a constant stream of visitors from Hong Kong and he found these exchanges of views very useful. He stressed that the FCO could not govern Hong Kong from 8,000 miles away. It had to accept the views of the people who

lived in Hong Kong.

12. Mr Stewart asked the delegation what effect the uncertainty in the MFA was having on business planning. Mr LEE said that there was hesitancy in the textiles industry because of the uncertainty of quotas. Miss Fisher de Gray agreed that orders were sliding and Mr Webb-Johnson said that lower orders reflected the domestic problems of suppliers in high cost countries.

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/13. Mr Stewart

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