RESTRICTED

Judicial system

Has to be some way of regulating relationship

between national law (of which Basic Law is part) and law of SAR.

But very consious of concerns in Hong Kong over this issue.

We are reflecting them to the Chinese authorities.

1

Confident that Chinese authorities will take Hong Kong views

on this fully into account.

Did you discuss Basic Law in China?

I took opportunity to indicate general areas which have been the focus of interest in Hong Kong and in the UK. My Chinese interlocutors took careful note. Not prepared to go into detail

about these discussions.

Comments on specific articles of draft

Do not think it would be helpful to make any detailed comment on specific articles in the draft.

There are clearly a number of aspects of the draft which will need further examination.

We are at an early stage in the consultative process: Britain will play its part in that process.

Have to doubt that Chinese authorities will listen carefully

to all views.

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