1.

Mr Stewart

HKK 430/1

11 OCT w/

PA

No. 123/10 !

Action Taken

18

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DESK OFFICER

INDEX

2. PS/Lord Goronwy-Roberts

1.

The Minister of State will need to consider these replies when he returns from Belgrade. To save time, HKGD should now have the Memorandum on the dispute fair-typed, and two copies inserted with this submission for enclosure in Lord Goronwy-Roberts' letters.

2. At the present moment, I would advise against taking up Mr Hooley's suggestion of an independent arbitrator.to the extent of mentioning it in the Memorandum or in the reply to Mr Hooley. It is certainly a proposal which Mr Stewart should try out in Hong Kong, but for Lord Goronwy-Roberts to endorse it now might mean a commitment to a certain course of action which Mr Hooley and others could then hold the FCO to. My inclination is to send further letters to the MPs interested in this case when Mr Stewart returns; and if the idea of an arbitrator is generally accepted, at least by the Hong Kong Government, we can then tell Mr Hooley so.

D F Murray

4 October 1977

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