CODE 18-77

Reference.

Mr Pryor

HKG 122/324/1

GERY NO. 51

13 MAY 1980

No C$12.6

REGISTRY

Action Taken

cc Mr P

Mr Rushford

Mrs Denza

24

Hong Kong & Gen.Dep FCO

FCO/Sol FCO/Sol

SANCTIONS AGAINST TRAN: SHIPPING IMPLICATIONS FOR THE DEPENDENT

TERRITORIES

I refer to Mr Morrice's minute to Mr Rushford of Friday which was copied to us.

The Iran (Temporary Powers) Bill was intended to be neutral on the question of whether the Orders in Council would extend to foreign registered ships owned or chartered by UK nationals etc. The penal jurisdiction of the Bill extends to acts and omissions

The reference to of UK nationals abroad. Controllers of ships or aircraft registered in the United Kingdom (clause 1(4)(c)) extends the penal jurisdiction in certain circumstances to non-nationals.

The question to be resolved is I think entirely one of policy namely should we attempt to prohibit Hong Kong individuals and companies who own ships but which are registered under a foreign flag from trading with Iran.

Robert Auberty

RJ AYLING

Sol A2

Rm 616 MH

Tel 215 4065

12 May 1980

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