SEORET

HKK & 040

RECEIVED

JUALS O.

112

GR220

SECRET

FM FCO 071527Z JUN 79

TO PRIORITY HONG KONG

}

TELEGRAM NUMBER 378 OF JUNE

INFO PRIORITY PEKING

FROM MCLAREN

YOUR TEL NO 603: NEW TERRITORIES LEASES

DESK

INDEX

по

J?4.6

B

1. I AM SORRY THAT OUR PREOCCUPATION WITH MORE URGENT BUSINESS

HAS HELD UP A REPLY TO YOUR TUR.:

2. IN THE OPINION OF THE DEPARTMENT'S LEGAL ADVISER, THE WORDING SUGGESTED IN PARAGRAPH 1 OF YOUR TELNO 547 WOULD NOT (NOT)

PROVIDE A SATISFACTORY LEGAL BASIS FOR THE CONTINUATION OF BRITISH

ADMINISTRATION IN THE NEW TERRITORIES AFTER 1997. THE PHRASE

QUOTE AND THE GOVERNOR SHALL ALSO HAVE THE LIKE AUTHORITY

WITHOUT REGARD TO ANY PARTICULAR DATE UNQUOTE IS AMBIGUOUS, AND

IN RUSHFORD'S VIEW COULD BE CONSTRUED MERELY AS AN INDICATION

THAT LAWS MADE AND THINGS DONE BEFORE 1997 ARE CAPABLE OF HAVING

LEGAL EFFECT AFTER THAT DATE (WHICH IS ALREADY THE CASE: IT IS

ONLY IN THIS SENSE THAT THE ORDER OF 1897 CAN BE CONSIDERED AS

POTENTIALLY IN FORCE AFTER 1997 PARA 6 OF PEKING TELNO 445 REFERS).

3. WE HAVE REACHED NO FIRM CONCLUSIONS ON WHETHER PROVISION

FOR CONTINUING BRITISH ADMINISTRATION SHOULD BE MADE IN THE

CONTEXT OF ACTION ON THE LEASES. NOR HAVE WE YET CONSULTED

MINISTERS. BUT IF PROVISION IS TO BE MADE IT WILL BE ESSENTIAL, AS SEEN FROM HERE, TO EXPLAIN TO THE CHINESE WHAT WE ARE PROPOSING TO DO IN TERMS WHICH LEAVE NO ROOM FOR MISUNDERSTANDING

ON THEIR PART. THE CHINESE MAY OBJECT, BUT IT IS BETTER THAT THEY SHOULD DO SO BEFORE ACTION HAS BEEN TAKEN THAN AFTERWARDS,

WHEN IT WOULD BE TOO LATE TO WITHDRAW, AGAINST THAT BACKGROUND-

WE ARE INCLINED TO THINK THAT IT WOULD BE BEST TO STICK TO

WORDING ON THE LINES OF CLAUSE 3 OF THE DRAFT ORDER IN COUNCIL,

IF THE IDEA IS NOT ACCEPTABLE TO THE CHINESE IN THIS FORM, IT

IS PROBABLY NOT ACCEPTABLE AT ALL.

SEORET

14.

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