CONFIDENTIAL
2
illegal structures grew rapidly and the Walled City became associated with every form of vice, since it was clear that the Government could do little to assert their authority there.
3.
In 1962/3, the Hong Kong authorities again sought to clear up the Walled City, but were thwarted by the intervention of the Chinese people's government.
It was during the course of this confrontation that the Kaifong Committee emerged. Following protests by this Committee and representations made to the British Charge d'Affaires in Peking, the Hong Kong Government's plans to re-develop the area were amended so as not to affect the Walled City. In 1970, the Communist press in Hong Kong condemned a proposal to remove two old cannon found in the Walled City and the idea had to be dropped.
4.
But
Since then, the C P G-controlled organs in Hong Kong have tried to avoid involvement in Walled City disputes. In 1973, the N C NA sent a representative to inform the Kaifong Committee not to get involved in a controversy over demolitions at the periphery of the City. In 1975, the Political Adviser warned the NCNA in advance of Government action against the new buildings exceeding the height limits and the reasoning behind it. (This would again be advisable if action is taken against the occupied buildings.) Minimal coverage was given to this action in the Communist press, although those affected threatened to send a delegation to Canton. the recent lack of C P G interest in the Walled City is as much the result of Government's restraint in trying to alter the status quo as of any discernable change in attitude by the Communists themselves. Both we and the Communists, however, have an interest in concentrating attention on practical matters (such as air safety, international civil aviation rules and perhaps financial compensation for loss to property) and avoiding either language or action which could cause a confrontation on the principle of sovereignty over the Walled City. Communists are unlikely to concede anything there.
The
CONFIDENTIAL