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HM Treasury
Parliament Street London SW1P 3AG
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R D Clift Esq
Hong Kong Department
Foreign and Commonwealth Office
Whitehall
LONDON
SW1
W/52
see (93); 14
4 October 1983
Dear Chijt,
HONG KONG: HMG'S LIABILITY
I understand that you mentioned to Brian Unwin the formula on the constitutional relationship between HMG and Hong Kong which was included in the FCO's study of August 1982. This was to the effect that HMG had no specific liability for the financial obligations of the Hong Kong Government, but in the last resort would be regarded as responsible for Hong Kong since it was a colony over which HMG had plenary powers of control.
2.
I gather that this formula was produced by your legal advisers. Unwin has asked me to pursue it with you a little further. For example, does the fact that HMG would be "regarded as responsible for Hong Kong necessarily imply any financial obligation? Is it not open to HMG, leaving aside the political aspect, simply to make it clear that it does not accept any such obligation?
3. I would be grateful for a fairly quick reply.
I would be
happy to come over for a word about this if that were convenient.
Mr. Hum
Pl. consider urgently- Speech frist
24/10
Yours uncinly, дова
(J
Bestell
BEASTALL)
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