SECRET
DESKBY200100Z
<<<<
some reports in the UK press (unlike the more sensible
coverage
in Hong Kong) have portrayed the acquisition as a prelude to a
merger or even as the first stage of a move out of Hong Kong. We
therefore think it almost certain that the Chinese will raise
this aspect and that defensive point (vi) will therefore need be
deployed.
4.
Please report by deskby telegram to us and to Peking as
soon as you have taken action. Provided Purves says nothing which would materially affect the line set out in MIFT, Sir R
Evans should take action with Ke as soon as possible. If Purves offers additional supporting arguments which you judge it would be useful for Sir R Evans to include, we would be content for Sir
R Evans to use his discretion to incorporate such points in
speaking to Ke.
5.
See MIFT.
HOWE
YYYY
PS
PS/LORD GLENARTHUR
PS/PUS
MR GILLMORE
MR MCLAREN
ADDITIONAL
MR LOEHNIS, BANK OF ENGLAND
30 MR KELLY, TREASURY
3/HD/HKD
1
35 N N N N
34
tribution
1/87 2708) Pesa2288/ 30m 5/87 3656
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