CONFIDENTIAL
FM FCO
TO IMMEDIATE HONG KONG
TELNO 1975
OF 241805Z OCTOBER 90
CONFIDENTIAL
HKD 340/4
RECEIVED '*'
29 OCT 1990
DESK OFFICER
INFO PRIORITY BTC HONG KONG
INDEX
PERSONAL FOR GOVERNOR FROM PAUL, HKD BTC HONG KONG: PERSONAL FOR HEAP
(757)
PA
85
175224
MDHOAN 9956
TOP COPY Q DIST?
YOUR TELNO 2921% BRITISH NATIONALITY (HONG KONG) ACT: BRITISH
LINKS
1. WE IN CONSULTATION WITH THE DTI AND THE HOME OFFICE HAVE BEEN GIVING SOME FURTHER THOUGHT TO THE COMPOSITION AND LOCATION OF THE COMMITTEE ON BRITISH UNDERTAKINGS. I THINK IT IS NOW ACCEPTED HERE THAT THERE WILL NEED TO BE SOME DTI INVOLVEMENT IN THE WORK OF THE COMMITTEE, ALTHOUGH THE HOME OFFICE ARE ADAMANT THAT THEY WILL NOT BE INVOLVED. BUT IT IS CLEAR THAT THE INPUT FROM THIS END WILL BE RELATIVELY MINOR (EG CHECKING INFORMATION HELD ON THE REGISTER AT COMPANIES HOUSE) AND THAT MOST OF THE INFORMATION WILL HAVE TO BE SUPPLIED BY THE BTC OR OTHER SOURCES IN HONG KONG.
2.
WHILE WE APPRECIATE YOUR WISH THAT THE COMMITTEE SHOULD BE LOCATED OUTSIDE HONG KONG IN ORDER TO EMPHASISE THAT THE ADVICE IT PROVIDES IS COMING FROM HMG, WE THEREFORE CONTINUE TO SEE CONSIDERABLE PRACTICAL AND PRESENTATIONAL DISADVANTAGES IN HAVING THE COMMITTEE EXCLUSIVELY HERE. FOR EXAMPLE, IT IS CLEARLY UNDESIRABLE THAT THOSE VESTED WITH THE FORMAL RESPONSIBILITY FOR ADVISING ON INDIVIDUAL COMPANIES SHOULD NOT BE THOSE BEST QUALIFIED TO DO SO IN TERMS OF LOCAL KNOWLEDGE AND EXPERIENCE, NOT TO MENTION THE DELAY AND INCONVENIENCE IF EVERY INDIVIDUAL DOSSIER HAD TO BE EXAMINED IN LONDON. I FRANKLY DOUBT WHETHER THE DTI WOULD BE PREPARED TO ASSUME A ROLE WHICH ENTAILED ANY SUBSTANTIAL ADMINISTRATIVE BURDEN.
3. WE ACCEPT THAT IF THE COMMITTEE WERE TO BE PRIMARILY BASED IN HONG KONG, IT WOULD PROBABLY BE NECESSARY TO BRING IN A FEW PRIVATE SECTOR REPRESENTATIVES, AS WELL AS THE BRITISH CHAMBER OF COMMERCE, AND THAT THIS MIGHT LEAD TO ACCUSATIONS OF FAVOURITISM TOWARDS THEIR OWN FIRMS. BUT WE THINK THIS MIGHT BE GOT ROUND
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