CONFIDENTIAL
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therefore be returnable to, Hong Kong if this is not so. It is difficult to know how this can be done without arousing some loss of confidence in the BN (O) status. One possible course would be to insert something like (unless their passports indicate otherwise)' in the three drafts, and to negotiate with the Chinese some additional wording to be added in appropriate cases to the endorsement about holding a Hong Kong permanent identity card. This might raise objections from some of the persons affected, but on the whole they will presumably be people who have not retained any close connection with Hong Kong and are settled elsewhere. Is it known how the Chinese are likely to view these persons who may hold Hong Kong identity cards but who will not be covered by Section XIV of Annex 1 to the Agreement? Perhaps the validity of the Hong Kong identity cards issued to non-Chinese non-resident BN(O)s could carry an expiry date of 30 June 1997 and an endorsement
'until 30 June 1997' could be added to the right of abode stamp in their passports. (A permanent ID card could be issued if the holder took up permanent residence in Hong Kong before 1997, in which case the additional endorsement to the right of abode stamp could be deleted, or a fresh passport issued.)
8. Para. C (A): We see no objection to Hong Kong's suggestion. The final sentence of para. 3 of the Annex might be recast to read 'BN(O) status will be acquired only if a person holds or is included in a passport showing that status'.
9. Para. C (B): We agree with the suggestion made in the first sentence covering dual nationals of other countries. As it is only consular protection which will not be available to duals, while other consular services (eg issue of passports, registration of births and deaths, attestation of documents etc) will be, it might be more accurate if the words in brackets were to read:- '(although not to consular protection in the People's Republic of China if he is a Chinese national or in any other country of which he is regarded as a national)'.
10. Para. C (C): We agree that there is some ambiguity in the present text. Para. 7 of the Annex might be amended to read
'The issue of passports endorsed with the new status will commence from the introduction of the status on 1 July 1987'.
11.
I attach a copy of Mr Kaye's minute of 9 July which suggests two other possible courses for dealing with the problem of the BN(0)s who will not have right of abode in Hong Kong after 30 June 1997. The likely drawbacks would presumably make these unacceptable.
9 July 1986
Head
Y J Veale (Miss)
Nationality & Treaty Dept
CONFIDENTIAL