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On 6 May, the Government announced that the merchant bankers, Lazards, had been commissioned to look into the financial implications of the Guangdong N-plant. A Government spokesman said their first task would be to examine the findings of the feasibility study that had been prepared for the project with a view to advising on the validity of its assumptions and conclusions. The firm would also examine other issues of importance, such as the question of an off-take agreement and the financing of the project. It was hoped that Lazards would report to the Government by August.
6.
EVER BRIGHT:
For the first time, the chairman of Ever Bright Industrial Corporation disclosed that his company was funded by the Chinese Government. In an interview with the HK Economic Journal on 6 May, Mr. Wang said the Chinese Premier, Mr. Zhao Ziyang, had personnally approved the setting up the corporation. However, he claimed that Ever Bright was not an organ of the Chinese Government, nor was it subject to control of any Chinese ministry. The board of directors comprised mainly individuals who were free to do business in HK. Mr. Wang also said his firm had no intention of raising capital here or overseas. Beijing merely wanted to use HK as a springboard to launch economic reform aimed at developing external trade and wooing foreign investment.
7.
BLACK PICTURE OF HK:
The May Issue of Pai Shing Semi-monthly reprinted two articles recently published in a Beijing newspaper, "Tunjie Pao" (Unity), which painted a black picture of HK. The first article was written by the wife of a former KMT army commander, who recently visited HK. She said the stable political situation in HK had attracted funds from overseas Chinese in the region, thereby helping HK to flourish. She described HK as a society where "small fry fall prey to big fish" and "a paradise for adventurers" similar to old Shanghai before it was liberated by the communists. Human relationships were built on money for which everyone was slogging. People who fell ill would not visit a doctor because they could not afford the exorbitant consultation and medical fees. Workers dared not say they were sick for fear of losing their jobs or being thrown out by their landlords afraid they could not pay the rents.
The second article was written by a nursery worker, who returned to China after staying in HK for a year. During his stay, he worked as a welder for 12 hours a day for a monthly wage of $1 200, one third of which went on rent. He described public housing units as "pigeon cages" with an impressive exterior. He claimed his father was sent home without pay by his factory manager after he was injured in the course of his work.
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