HKK 184/51

ON

HANNO REGISTRY NO. ST

CON10601979

DESK OF CER

INDEX

2) Miss Brown

по

Mr Murray

PA

REGISTRY

7.1 Jouer

Mr Collage showed me the

top copy of this las right.

Aation Taken He thought than the submission

jours right but was unhappy with

I suhequently

CPA AND THE LONDON/HONG KONG ROUTE

the amp ru.

броке и вычи

логий пе

Submisty a revised (a shore)

In his minute of 4 October Mr Murray asked about the

A

present position.

B

неумии

in N Williamson

8723160

J24:10

Since his return the Hong Kong Government.

have taken up in their telegram No 1388 the main point Mr PA.

Griffiths made to him. They have since asked us in addition

C

to press for the amendment of the 1971 Civil Aviation Act

(Hong Kong telegram No 1406).

2. I submit a draft reply to both telegrams which has been

cleared with DOT. HK&GD and Legal Advisers concur.

BACKGROUND

3.

The QC from whom the Hong Kong Government sought an opinion

seems to have caused them unnecessary worry by overlooking the

Order of the Court of Appeal in the Laker case. This declared

ultra vires those parts of the 1976 Guidance (para 7 and the

proviso to para 8) which required CAA not to license more than

one operator of scheduled services on long haul routes except

with the consent of the existing operator. There is therefore

no BA veto. The CAA is still required (para 6 of the Guidance)

to limit the grant of licences to airlines other than BA and

BCAL so that these two airlines have adequate opportunities to

/compete

CONFIDENTIAL

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