CONFIDENTIAL

out that Zhou is "senior" to the Governor.

If there were any need to further confirm the nature of the Xu/Zhou relationship, the following two facts should clinch it. In a long speech at the Reception (twice as long as Xu's) full of a good deal more party dogma than we have been used to, Zhou Nan did not so much as mention Xu, let alone offer a word of public appreciation for Xu's

6 years of service as NCNA director in Hong Kong. Secondly, when they were travelling to Peking to the BLDC plenary on 11 February, NCNA asked Rod Bunten to book two separate VIP rooms at the airport.

Yours

ern

Fryphen

(S E Bradley)

Deputy Political Adviser

cc Chancery, Peking

CONFIDENTIAL

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