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Page No. 9 of 10 pages

34.

The Macau authorities appear to be trying to tighten up their

controls. They are reported to be sending back many more of the illegal

immigrants they detect and the police are opening fire in order to stop

fleeing syndicate boats.

From Vietnam

35.

2,364 refugees directly or indirectly from Vietnam arrived during

August as compared with 2,823 in July. About half came from Central and

Southern Vietnam, some 200 by sailing boats from Hanoi and about 800 from

China where they had been settled. A factor in the arrivals from Vietnam

was the continuing south-west monsoon, which is likely to go on blowing

until early October. The Vietnamese previously settled in China are showing

increasing sophistication in concealing their point of departure: one boat

arrived painted in typical Vietnamese style with a fake resgistration number

and the passengers in another professed only Vietnamese and an inability to

understand Cantonese.

36.

There is no sign of any impending change in the Vietnamese

Government's ban on departures. The refugees arriving direct from Vietnam

are the result of private enterprise, sometimes in conjunction with low

level bribery. Movement out of Vietnam under the UNHCR orderly departure

scheme remains a trickle (only 2,000 so far this year) but the desire to

leave, particularly from the south, is as strong as ever. The captain of

a merchant ship which had been in Ho Chi Minh City has told of being

accosted in the streets there by persons begging for passages. This

echoes a recent report from the British Embassy Hanoi that, in the

absence of active resistance to the regime, the energies of the city's

population are concentrated on getting away.

37.

The Chinese authorities agreed during the month to accept the return

of some 2,000 named ex-China refugees and the operation to implement this

began in the last days of the month and has so far gone smoothly. It will be

completed by mid September with a transfer of some 800 refugees by a special

train. The Chinese have indicated their willingness to accept further

regular movements once this operation is over.

LIC, Hong Kong September 1980

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