CONFIDENTIAL
FM FCO
TO PRIORITY HONG KONG
TELNO 990
OF 05110OZ MAY 89
CONFIDENTIAL
13) No! w.65
HKD 385/2
нко
pault
23/7
16
056155
MDLOAN 8601
ред
YOUR TELNO 1376: DRUG TRAFFICKING (RECOVERY OF PROCEEDS) BILL 1989: DESIGNATION OF COUNTRIES
1.
THANK YOU FOR OFFERING US THIS OPPORTUNITY TO COMMENT ON YOUR PLANS FOR DESIGNATION UNDER THE DRUG TRAFFICKING (RECOVERING OF PROCEEDS)
BILL.
2. WE AGREE THAT IT WOULD BE DIFFICULT AND INADVISABLE TO POSTPONE CONSIDERATION OF DESIGNATION UNTIL AFTER RATIFICATION OF THE UN CONVENTION HAS BEEN EXTENDED TO HONG KONG (PARA 3 OF TUR). WE HOPE THAT ONCE YOUR DRUG TRAFFICKING BILL BECOMES LAW WE WILL BE ABLE TO MOVE AHEAD SWIFTLY AND CONCLUDE A BILATERAL AGREEMENT WITH YOU. THIS WILL PROBABLY TAKE THE FORM OF MUTUAL DESIGNATION UNDER OUR RESPECTIVE LEGISLATION (PARA 6 OF TUR). HOWEVER, WE WILL NEED TO TAKE LEGAL ADVICE AS TO THE DETAILED PROCEDURES NECESSARY ONCE WE HAVE SEEN A COPY OF YOUR ACT AND NEWELL'S (SENIOR CROWN COUNSEL) DRAFT OF AN ARRANGEMENT BETWEEN THE UK AND HONG KONG (AS PROMISED TO THE VISITING UK DRUGS TEAM IN OCTOBER 1988). GRATEFUL, THEREFORE, FOR BOTH URGENTLY.
3 =
AS FAR AS THE OPTIONS FOR DESIGNATION OF THE US ARE CONCERNED (PARA 4 OF TUR), WE STRONGLY AGREE THAT OPTION (D) IS THE BEST WAY FORWARD AND ARE CONTENT WITH THE WAY YOUR PROPOSE FOR HANDLING THE CHINESE ANGLE (SEE ALSO PARA 6 BELOW). AS YOU NOTE, OPTIONS (A) AND (B) WOULD SET A BAD PRECEDENT FOR OTHER COUNTRIES WITH WHICH YOU HOPE TO REACH BILATERAL AGREEMENTS. A UNILATERAL ARRANGEMENT IS NO SUBSTITUTE FOR A PROPER RECIPROCAL ACCORD. YOU SHOULD ALSO BEAR IN MIND THE FACT THAT YOU MAY WANT ASSISTANCE
FROM THE US AUTHORITIES.
4.
WE AGREE THAT EXTENDING THE UK/US AGREEMENT TO HONG KONG (YOUR OPTION (C)) HAS SOME DISADVANTAGES. IT IS MUCH BETTER THAT YOU PUT TOGETHER YOUR OWN MLA ARRANGEMENTS (UNDER UK AUTHORISATION). WE ARE PUZZLED, HOWEVER, BY YOUR REFERENCE TO THE UK/US DRUGS AGREEMENT. ALTHOUGH IT IS EARLY DAYS TO SAY HOW THE AGREEMENT WILL WORK IN PRACTICE AS IT ONLY CAME INTO FORCE ON 11 APRIL, WE BELIEVE IT TO BE A GOOD AGREEMENT AND ARE GENERALLY SATISFIED WITH IT. INDEED WE SEE VALUE IN YOUR USING IT AS A
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