CONFIDENTIAL
10
because the Singapore and Taiwan Governments, which also imposed some restrictions on freedom, still enjoyed prosperity. He told the Y's men's club that China would impose hindrances on HK's administration and its ultimate aim was to integrate HK fully into China. The special capitalist laws in HK would be phased out after Taiwan was incorporated because the existence of such laws was against the spirit of China's Constitution. China might face the dilemma of being asked by autonomous regions to be treated as special administrative zones and have their special laws. The Standard concentrated on his point that the concept of special administrative zones should first be tested in Shenzhen for 10 years before being applied to HK: there were so many varied difficulties facing the zones that they might not turn out as the Chinese conceived them. He also said the timetable for unification had changed and the order was now HK and Macao before Taiwan, as China wanted to show that special status for parts of China was possible. He said the notion of local people ruling here was an illusion as such a Government would not have true independent power and authority as it had to look up at the real boss. The takeover might prove a "losing game" for China if the special administrative idea was not carefully tested.
In the 16 December issue of Wide Angle, its editor, Mr. Lee Kwok-keung, said China attached importance to and was well prepared for an upsurge in the number of local residents and organisations flocking to Beijing next year to express their views on HK's future. It was possible that the NPC and the State Council would jointly set up a special unit to receive visitors from HK, hear their views and answer their queries.
In another article in the magazine, Dr. Miners (HKU) said it would be a marked change in China's long standing policy of not giving HK independence should Beijing decide to turn HK into a highly autonomous city. He said Beijing would take a great risk if it decided to let HK people choose their administrator by democratic election. He expected pro-KMT candidates might win a lot of votes because an opinion poll by the Reform Club and HK Observers showed that most HK residents did not support communism. In order to ensure that pro-Beijing political parties or bodies were elected, China would have to either rig the election. a practice which was not uncommon in Asia or vet the candidates. Either of these two alternatives would place HK under communist control.
12.
OTHER ITEMS:
Reform Club AGM: At the AGM of the Reform Club, the chairman Mr. Brook Bernacchi said the only danger to HK's future was of destroying itself first by overreacting to the present difficult times. He appealed to the public not to panic. Uncertainty about the future was hanging like a dark cloud over the whole territory at a time of economic depression. The combined effect had depressed the stock market and weakened the HK dollar, with a resultant increase in the cost of living. Have faith and confidence in the future of HK whatever lay ahead, he said. The PM had "unwisely" talked about the unequal treaties that created HK: this was not now the issue, which was the stability and prosperity of HK as it was today. He was sure that when the time was ripe a satisfactory solution would be worked out by all three parties. The Chinese Government itself would hate to see HK suffering from so severe
CONFIDENTIAL