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HKA 016/1

54.

126215

MDHOAN 3657

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FM FCO

02J 1993

DES

TO IMMEDIATE GRAND CAYMAN

>

TELNO 37

OF 021559Z JUNE 93

INFO ROUTINE ANGUILLA, GRAND TURK, HAMILTON, PLYMOUTH

INFO ROUTINE TORTOLA, WASHINGTON, HONG KONG

Ciril knie.

SUNDAY TIMES ARTICLE ABOUT MR SCOTT, FORMER GOVERNOR OF THE CAYMAN ISLANDS

1.

You will have seen a copy sent by fax of an article which appeared in the Sunday Times on 30 May. When approached by the Sunday Times News Department have taken the following line:

- We confirm that Mr Scott, a former Hong Kong civil servant, held the post of Governor of the Cayman Islands on a five year contract from 1987 to 1992. He retired in 1992 at the age of 59.

- The question of the alleged removal of funiture from Government House is an internal matter for the Cayman Islands Government.

- No comment on correspondence from members of the public requesting that Mr Scott remain Governor. The contents of letters from members of the public are private.

There was never any question of our blocking Mr Scott's Hong Kong pension. The FCO has no locus to take such action.

The story has not yet been taken up by other newspapers. The Governor will be briefed when he calls on WIAD on 3 June.

2.

3. We are nevertheless concerned especially by the allegation of financial impropriety. We understand that Mr Scott reimbursed the Cayman Government of items imported duty free towards the end of his tenure which were for his personal use after retirement. Have you any reason to believe there were other questionable financial transactions query.

4

Please also report on Local reactions, if any, to the Sunday Times story.

HURD

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