SECRET

Mr R Baxter News Department

92A

HKK 382/2

RECEIVED IN REDIGTRY NO. 51 20 AFRI973

DESK OPjon INDEX

PA

ETRY

Taken

CORRUPTION IN HONG KONG.

1. Mark Shreiber of "The Economist" has today told the Hong Kong Government Office in London that the edition of The Economist appearing tomorrow will carry a report that Colonial Regulation 55 will be used to dismiss Hong Kong Police Officers suspected of corruption.

This

2. It is indeed true that the Secretary of State has agreed that CR 55 should be used against some 140 Officers who were all stationed at Yaumatei Police Station. But our intention was that this should only be made public after the Officers concerned had been officially informed of the decision. This is likely to happen on 7 April. leak, which would seem to have originated in Hong Kong, from where Mark Shreiber has just returned should spark off further unrest amongst the Police since the report is unlikely to make clear how many Officers will be involved and since Ch 55 does not give the Right of Appeal nor does it contain provision for pensions or other benefits, although the intention is that this will be paid.

3.

Fir Quantrill of this Department has today spoken to the Governor of Hong Kong and agreed that neither we nor the liong Kong Government should comment on the report. If questioned we should say "the report is pure speculation. The Yaumatei case is a complex one involving a large number of men. It is before the Attorney General of Hong Kong at the moment and we cannot predict what his decision will be. we expect the decision to be announced in the near future."

But

30 March 1978

cc PS

dent

PS/Lord Goronwy-Roberts

Mr Cortazzi Mr Murray

J Thompson

Hong Kong & General Dept Ext 4069 - K270

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