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Mr Hoare 749

FUTURE OF HONG KONG : SPECIAL STUDY

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AF1⁄4/9.

The Governor gave me on the telephone the following comments' on the Annexes. If these can be accommodated and included before the paper is resubmitted, so much the better.

Annex H

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In the Governor's view paragraphs 11 and 14 are inconsistent. The first says that China would have ultimate responsibility for Hong Kong with the UK only being responsible for conduct; paragraph 14 emplies that the UK would have overall responsibility. Can these two be reconciled? Please consult the Legal Advisers.

Annex K, page 5, sub-paragraph (vi)

In the Governor's view, the last sentence should be much stronger. Re-word:

'It would however be unlikely to have any attraction for people in Hong Kong since it would be seen as weakening the effectiveness of the British link'.

A further point is that the Governor does not see why there would be advantages in local citizenship from the legal point of view. Can the Legal Advisers elucidate?

Annex N, paragraph 13

First sentence is unrealistic.

Agreed - It is be in the terests of

Re-word:

UK dul aviating for the V-K_ to retain to

present suverey nghts on-li'imsla tenda after 1997.

While in the short term the interests of UK civil aviation suggest avoiding the transfer of sovereignty in the longer term new arrangements are necessary to avoid HMG losing civil aviation negotiating rights altogether by 1997 since the Hong Kong Airport is not within the ceded territories. An agreement making the UK...

Try this on MAED and DOT.

Annex P

nee night. not lived to location of

an port (char)

First and Fifth Answers: For 'administration in Hong Kong' substitute 'future of Hong Kong'. The point is that with the present wording the impression could be given that a deal had already been struck over sovereignty. Better to leave it vague.

Penultimate Answer: This should be more precise on following lines:

'Of course. Consultations have already taken place with the Governor and Unofficial Members',

An additional Question should be added:

CODE 18-77

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