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BECOME WRAPPED UP WITH THE ISSUE OF WHO WAS. TO BECOME THE CHIEF EXECUTIVE, WHICH IN TURN MAY HAVE IMPLICATIONS FOR SENIOR APPOINTMENTS WELL BEFORE 1997. ON PAST FORM WE WOULD HAVE TO ANTICIPATE THE POSSIBILITY THAT THE CHINESE WOULD LEAK OUR DISCUSSIONS, AS PART OF MANOEUVRING FOR ADVANTAGE OVER US. WE IMAGINED THAT LEGCO WOULD BE QUICK TO SEE THIS AS CONCEDING CHINESE INFLUENCE ON APPOINTMENTS BEFORE 1997. AS YOU SAY CAND AS MY SUBMISSION ALSO BROUGHT OUT) THERE IS IN PRACTICE NO CHOICE HERE, AND AT THE END OF THE DAY THE PRIZE OF CONTINUITY WILL BE WORTH TAKING RISKS FOR. AGAIN, THE CONSIDERATION WAS ONE OF TIMING, IE. THAT IT WOULD BE NECESSARY TO HAVE A MORE SETTLED RELATIONSHIP BETWEEN HKG AND LEGCO BEFORE EMBARKING ON DISCUSSIONS OF WHO WOULD AND WOULD NOT BE ACCEPTABLE TO THE CHINESE AFTER 1997.
3. I DO NOT THEREFORE BELIEVE THAT THESE CONSIDERATIONS RULE OUT YOUR BROACHING THE ISSUE IN GENERAL TERMS WITH LU PING IN JANUARY. BUT WE WILL NEED TO CONSULT LORD CAITHNESS AGAIN ABOUT WHAT LINE YOU PROPOSE TO TAKE. YOU MENTIONED THAT I WAS KEEN TO SEE THE DIALOGUE ON THIS SUBJECT RESUMED WITH THE CHINESE. MY APPETITE TO KNOW MORE ABOUT THE SUBJECT WAS WHETTED BY HEARING THAT LEO GOODSTADT WAS WORKING ON FURTHER PAPERS ON THIS SUBJECT AND I WAS KEEN TO SEE THESE. I SUGGEST THAT WE MIGHT DISCUSS THE WAY FORWARD WHEN I SEE YOU IN HONG KONG NEXT WEEK.
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MR BICKHAM, SPECIAL ADVISERS
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