CONFIDENTIAL
067116
MDHIAN 5406
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WITHDRAWAL FROM CAMBODIA, A SUBJECT HE HAD DISCUSSED WITH SHEVARDNADZE IN JANUARY HE WENT ON TO ASSESS DEVELOPMENTS IN THE SOVIET UNION. WE WELCOMED THE CHANGES GORBACHEV WAS SEEKING TO INTRODUCE BUT REMAINED CAUTIOUS ABOUT LONGER-TERM SOVIET INTENTIONS.
5. THE SECRETARY OF STATE SAID ON THE HOUSE OF FRASER INVESTI- GATION THAT WE WERE GRATEFUL FOR THE SULTAN'S UNDERSTANDING ATTITUDE. THE INSPECTORS' REPORT WOULD BE READY SHORTLY AND THERE WOULD BE INEVITABLE PUBLICITY. WE WOULD KEEP THE SULTAN FULLY INFORMED. THE SULTAN BECAME RELATIVELY ANIMATED ON THIS SUBJECT, AND REPEATED HIS ASSERTION TO LORD GLENARTHUR IN JANUARY THAT THIS WAS A MATTER BETWEEN TWO PEOPLE (AL FAYED AND ROWLAND) AND THAT IT WAS UNFORTUNATE THAT THE SULTAN'S NAME HAD BEEN BROUGHT IN. THE SULTAN REFERRED TO THE RECENT BOOKLET PRODUCED BY ROWLAND (PRESUMABLY A FOOL AND HIS MONEY'') WHICH HAD BEEN SENT TO EYGPT AND JORDAN AS WELL AS BRUNEI. HE SAID THAT IT WAS FELT IN THE MIDDLE EAST THAT ROWLAND HAD BEEN WRONG TO INVOLVE THE SULTAN. THE SECRETARY OF STATE COMMENTED THAT IN PRACTISE ROWLAND'S PUBLICITY ACTIVITIES IN THIS FIELD AROUSED LITTLE PUBLIC INTEREST IN THE UK.
6. THE SULTAN ASKED WHAT WOULD HAPPEN TO THE HOUSE OF FRASER WHEN THE INVESTIGATION WAS OVER. THE SECRETARY OF STATE SAID THAT THE POSITION WAS VERY UNCERTAIN. THERE WERE HOWEVER TWO MAIN OPTIONS. THE GOVERNMENT COULD EITHER DECIDE TO TAKE NO ACTION OR REFER THE MATTER TO THE MONOPOLIES AND MERGERS COMMISSION. IN THE LATTER CASE, THE COMMISSION WOULD IN DUE COURSE REPORT TO HMG, WHO WOULD THEN TAKE A DECISION IN THE LIGHT OF THEIR RECOMMENDATION. THE SULTAN COMMENTED THAT SO LONG AS THE MATTER WAS NOT DECIDED IN ROWLAND'S FAVOUR, THE LATTER WOULD MAINTAIN HIS PUBLICITY CAMPAIGN. FOR HIMSELF, HE HOPED THAT THE MATTER WOULD NOW BE SETTLED ONCE AND FOR ALL. HE HOPED THAT WE WOULD DO WHAT WE COULD TO REDUCE PUBLICITY. THE SECRETARY OF STATE SAID THAT WE TOO HAD NO INTEREST IN UNNECESSARY PUBLICITY.
WESTBROOK
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ΜΑΙΝ
FCO (PALACE)
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363
DISTRIBUTION
363
SEAD (-)
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