Mr Ayling SOLS A
PROI OSED SANCTIONS AGAINST IRAN
сс
Kr Kemmis CRE5
I WA
Mr Colin Wood
HAED/FCC
This is just to put up a marker about our interest in secing the draft Order introducing sanctions against Iran at an early stage. We will have a number of shipping points and we have some experience upon which to draw as a result of the Regulations implementing sanctions against Southem Rhodesia.
2 It might be worth mentioning that there will be a particular Hong Kong problem about vessels owned in Hong Kong but operated under other (primarily Liberian) flags. A large part of this Hong Kong-owned fleet is composed of tankers and one suspects that they are still being employed in trades with Iran. Unless Liberia, as the flag state, is itself prepared to engage in sanctions, I would think it highly undesirable for the Hong Kong-owners to be prohibite from trading with Iran. As in the case of the UK itself, it seems best to stick to British-flag vessels registered there and vessels (British flag or foreign flag) chartered to interests withinin Hong Kong jurisdiction.
Vora u Ehren
ppA J Pryor
SP3 V/705
215 5624
6 May 1980
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