Tu?
CONFIDENTIAL
- 4 -
We
of repatriation assistance had been the most difficult point in the negotiations. The Americans were now causing problems
over human rights aspects. We too would face domestic criticism
on this score. But it was difficult to believe that conditions
could be worse in Vietnam than in the camps in Hong Kong. supported the proposal for an international conference on
the broader problems, and hoped to keep in touch with the
Singaporeans. BG Yeo explained Singapore's "hard" policy on
VBPS. They were only allowed to land for transit to
resettlement elsewhere. Lord Glenarthur thanked BG Yeo for
Singapore's helpfulness over a recent RASRO case involving a
British ship.
Drugs
9.
Lord Glenarthur said he wished to raise a subject which he had brought up on a number of occasions previously. We hoped that Singapore would soon sign an agreement on the reciprocal
tracing and freezing of drug traffickers' funds. We understood
Singaporean fears about bank secrecy. But other financial centres (including Hong Kong and Switzerland) were coming into
line. Drugs were an absolute scourge: the problem must be
tackled. BG Yeo said that Singapore was aware that others
were signing up. But Singaporean banking officials were most reluctant to join in because of the importance to Singapore of
the funds which passed through its banks. Singapore, of course,
agreed fully on the need to tackle the drugs problem. They
possessed draconian laws on drug trafficking, including the
penalty of hanging. Lord Glenarthur explained our view that,
if all others signed up, Singapore would tend to gain a
reputation as the one place in which it was safe to launder
funds. This would bring more drugs into Singapore, and with
them, the risk of the spread of AIDS. BG Yeo said that
Singapore would always be willing to cooperate with British
investigations if these suggested that cash was being
laundered in Singapore. But the Singapore authorities would
wish to do this discreetly, on a case by case basis. This
was preferable to an agreement enshrined in law.
CONFIDENTIAL
.../10.