CONFIDENTIAL
You asked whether the references in the check lists for ExCo and OMELCO to Lord Caithness having pressed Lu Ping to "recognise and deal sensibly with LegCo" were adequately reflected in the speaking note for Lu Ping. Having looked again at the texts, I believe that the Lu Ping speaking note gets it right, and that we should adjust the ExCo and OMELCO check lists to bring them into line with it. I suggest that you make a manuscript amendment on both check lists changing "should recognise and deal sensibly with" to "should develop a more constructive relationship with".
The Minister asked for a check list of points previously raised with him which have since been settled to Hong Kong's satisfaction. I attach such a check list.
The Minister also asked to have a copy of our earlier note on LegCo's powers: this is attached, together with an extra note comparing the reserve powers we have to the reserve powers which will be available to the Chinese under the Basic Law. As you will see, the position in principle, if not in practice, is not very easy to defend!
I also attach a copy of Hong Kong's scene setting telegram which could be tucked into the front of the briefs.
2. You will have seen references in the telegrams to the
fact that an incident involving an incursion into Hong Kong waters by armed Chinese security personnel engaged in criminal activities on 19 November has now become public in
Hong Kong. The Governor has recommended that a member of the Minister's party should express our serious concern to
BENAIJ/2
CONFIDENTIAL