British Joint Declaration.

New Clause 7 is badly drafted but would seem intended to require that evidence be laid before Parliament showing that the Chinese government were satisfied that the scheme complied with the Joint Declaration before the Secretary of State could order it to be implemented.

Mr Adley is known to be concerned that the Chinese Government disapproves of the Hong Kong Bill and has contended that the Bill is in breach of the Joint Declaration. The intention of the amendments at the least would seem to be to mollify the Chinese by giving them consultation rights. In practice we know that the Chinese are implacably opposed to the Bill and the only likely outcome of giving them this power to block the scheme is that they will use it.

Government Line

First, we are satisfied that the Bill already complies with the Joint Declaration so it is superfluous to build in provisions of this kind. Second, giving the Chinese government these powers will mean an effective veto over the operation of the scheme. This will have precisely the opposite effect on confidence in Hong Kong to that which the scheme was designed to have.

DAWADU

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