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C D replied.

22 April.

Further background is contained in Mr Guy's submission of

E F 4. Mr Cahill subsequently wrote twice again, on 10 and 15 May. He

claimed that he had not in fact accused the FCO or any of its

officials of corruption, but made several allegations about the

conduct of the case and the attitude and activities of the Malaysian

authorities. He insinuated that HMG had handled the case

improperly, in order to improve UK/Malaysian bilateral relations.

Sir John Coles gave a short reply, which avoided getting drawn into

discussion of such matters.

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5.

In my view, we should continue to limit ourselves to saying, in

reply to this and any subsequent correspondence, that the matters

raised by Mr Cahill are for consideration in the courts. Although we are confident that the implied charge of misconduct by HMG or British officials is unfounded, it would be wrong to enter into the argument which Mr Cahill is trying to provoke.

PB Yaghmourian

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