5. IN THE AFTERNOON THE GOVERNOR SAW THE FOREIGN MINISTER HUANG HUA. HE GAVE HIM AN ACCOUNT OF THE DISCUSSION WITH DENG IN THE MORNING, EMPHASISING THAT THE ACTION PROPOSED WOULD NOT CONTRADICT THE CHINESE POSITION
N HONG KONG AND SAYING THAT DENG HAD NOT APPEARED TO OBJECT TO THIS POINT. HUANG, WHO DID NOT SEEM TO BE FULLY BRIEFED ON THE SUBJECT, STONEWALLED BY SAYING THAT THE LEASE STILL HAD 18 YEARS TO RUN AND THAT THE MATTER WAS NOT URGENT. WHEN THE GOVERNOR POINTED OUT THAT THE MATTER WAS NOT ONE OF THE NEW TERRITORIES LEASE AS SUCH BUT OF INDIVIDUAL LAND LEASES, HUANG SAID IT WAS SOMETHING THAT WOULD HAVE TO BE CONSIDERED AND THAT DENG HAD ALREADY GIVEN DETAILS OF CHINA'S 'PRINCIPLED STAND' ON THE HONG KONG QUESTION. THE GOVERNOR REMARKED THAT DENG'S COMMENTS HAD BEEN FAVOURABLE,
THE
6. THE GOVERNOR LATER SAW LIAO CHENGZHIH (WHO HAS PARTICULAR RESPONSIBILITIES FOR HONG KONG). CONVERSATION WAS GENERAL AND VERY FRIENDLY. THE GOVERNOR REFERRED TO THE CONVERSATION WITH DENG, SAYING THAT, WHILE HE UNDERSTOOD THE LATTER'S POSITION ON THE LONG TERM FUTURE, HE WAS GLAD THAT DENG ALSO UNDERSTOOD HIS OWN PROBLEMS
IN THE MORE IMMEDIATE FUTURE. LIAO SAID THAT HE COULD NOT GO FURTHER THAN DENG, AND THAT THE MATTER REQUIRED STUDY, BUT INDICATED OPTIMISM ABOUT THE SOLUTION OF BOTH THAT AND SHORT TERM PROBLEMS.
CRADOCK
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