B.

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APPLICATION OF PRC BASIC STATUTES TO THE HK SAR.

5.

A related question is whether, apart from the Chinese

constitution, there are other "basic statutes" of the PRC which it

is considered would be applicable to the HK SAR.

6.

a high

The Joint Declaration provides for the SAR to enjoy

degree of autonomy.

It is important for the success of the

"one-country, two-systems" concept, and thus confidence in the

future of Hong

of Hong Kong, that the SAR's autonomy is not seen to be

eroded by the application of PRC statutes.

We have given some

though to the matter and have a few ideas. We accept, of course, that the law of Chinese nationality is exclusively within the jurisdiction of the PRC. It is possible that there are other areas

of law to which similar considerations may apply. It is, therefore, important that there should be an early understanding of how the Chinese side see this problem and, having regard to the provisions of the Joint Declaration quoted in para 2 above, what proposals the

Chinese side have with regard to such laws.

C. INTERPRETATION OF THE BASIC LAW

1.

is

the question of

Declaration

exclusive

Another legal issue that has been raised

power of

of interpretation of the Basic Law. The Joint does not provide directly for this, but it does confer judicial power in the SAR on the courts of the SAR. In addition to the provision set out in para 2 above, Annex I, Section III of the

JD provides that:

་་

Judicial power in the HK SAR shall be vested in the courts

of the HK SAR. The Courts shall exercise judicial power

The

independently and free from any interference courts shall decide cases in accordance with the laws of the

The power of final judgment of the HK SAR shall be vested in the court of final appeal in the HK SAR

HK SAR

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