HKDACJ (3)
CONFIDENTIAL
LUNCH GIVEN BY LORD DERWENT FOR MR LI KA-SHING ON 22 JULY
Background
a)
General
1.
Li is one of Hong Kong's wealthiest and most prominent
businessmen. From his "flagship" company Cheung Kony (Holdings) Ltd
(mainly a property development firm) he has launched several
takeovers of more established companies most recently Hutchison
Whampoa Ltd (a property and trading company) and Hong Kong Electric
(one of Hong Kong's major utilities). Hutchison was rescued from
near-collapse during the 1970's by an Australian, Mr Bill Wyllie,
whom Li recently replaced as Managing Director with Murray, his own
choice.
2.
Li reputedly made his first fortune in the late 1960's by
buying up cheap property and land in Hong Kong in the wake of the
disturbances of 1966-7. He is one of the more potent symbols of
Hong Kong's continuing economic dynamism. This dynamism is
currently reflected also in the continued ascent of the Hong Kong
Stock Exchange (Hang Seng) index, now hovering near 3250. This is
the highest point that the index has ever reached and more than four
times its level during the jittery days of September 1983.
3.
Li does not play any formal part in Hong Kong's public life,
but his wealth and position nonetheless give him considerable
influence. He maintains good relations with Peking, but is
essentially his own man in his business dealings.
b) Application for British Citizenship
4.
The question of British citizenship for wealthy Hong Kong businessmen prepared to invest in the UK came up last year in a
CONFIDENTIAL