CODE 18-77

TOMADK

Mr Fletcher-Cooke, FED

CONFIDENTIAL

HAD. Sta/L

1 AN 1988

fele

MUTUAL LEGAL ASSISTANCE WITH CHINA

(260) (187)

1. Please refer to Alyson Bailes' teleletter 373/1 to you of 23 December. In para 3(d), she suggests that we or Hong Kong may have views on whether the treatment or exclusion of Hong Kong would need to be flagged at this stage.

2.

As you will be aware, there has already been considerable correspondence on this subject, most of which has been copied to itnerested parties. For completeness' sake, I am now copying the following papers:

13.

(i)

(ii)

(to Mr Peirce and Miss Bailes) Mr Fifoot's minute to you of 11 December

(to you and Mr Grainger) a teleletter I sent to Mr Peirce on 23 December. (I am not copying to you the huge bundle of papers on which I was commenting, as I think the teleletter stands on its own).

From this, you will see that we have no fundamental objections to a UK/PRC mutual legal assistance agreement being negotiated, provided that we steer well clear of criminal matters. We should however wish to be kept closely informed of developments, as would Hong Kong.

4. Subject to any further views from Mr Peirce, I see no particular need to flag the Hong Kong angle at this stage. If the question of the relevance of any potential agreement to Hong Kong arises, I suggest that the line we use should be that in para 2 of Mr Fifoot's minute of 10 December to me.

4.

As things move forward, we shall naturally need to keep the Hong Kong angle under review.

etwow

C T Wood

Hong Kong Department

12 January 1988

Mr Fifoot

Mr Grainger)

) Legal Advisers

Miss A J K Bailes, Peking

R N Peirce Esq, Acting Political Adviser,

Hong Kong

CONFIDENTIAL

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