RESTRICTED

PA

16

102474

HKA 122/1

MDHIAN 2031

RESTRICTED

FM WASHINGTON

TO IMMEDIATE FCO

TELNO 1165

OF 24234OZ MAY 93

INFO IMMEDIATE HONG KONG, ACTOR

INFO PRIORITY UKMIS NEW YORK, UKMIS GENEVA, PEKING, SINGAPORE

FORMER YUGOSLAVIA:

SUMMARY

SANCTIONS AND HONG KONG

1. U.S. CONCERN AT EFFECTIVENESS OF ENFORCEMENT IN FAR EAST OF SCR 820 PROVISION FOR SEIZURE OF FRY SHIPPING. CLAIM THAT HONG KONG IS

PART OF THE PROBLEM.

DETAIL

2.

STATE (SANCTIONS TASK FORCE) CONTACTED US ON 24 MAY ABOUT PROBLEMS IN ACHIEVING EFFECTIVE IMPLEMENTATION OF THE PROVISION IN SCR 820 REQUIRING IMPOUNDING OF FRY-CONTROLLED VESSELS. THE AMERICANS ARE INVESTING A LOT OF EFFORT IN TRACKING THE MOVEMENTS OF SUCH VESSELS AROUND THE WORLD, AND LOBBYING AS NECESSARY TO ENSURE THAT SEIZURE TAKES PLACE. SO FAR, 23 SHIPS HAVE BEEN IMPOUNDED: STATE BELIEVE A SIMILAR NUMBER ARE STILL ACTIVE.

3.

STATE SAID THE FAR EAST REMAINED A MAJOR AREA OF DIFFICULTY. THE CHINESE WERE SIMPLY IGNORING SCR 820, DESPITE U.S. LOBBYING. SINGAPORE WAS BEING SIMILARLY UNCOOPERATIVE. THE AMERICANS ALSO HAD CONCERNS ABOUT HONG KONG. THEY KNEW THAT, FOLLOWING U.S. REPRESENTATIONS IN LONDON, WE HAD REMINDED THE HONG KONG AUTHORITIES OF THE NEED TO WATCH FOR FRY-CONTROLLED SHIPPING. ON THE FIRST OCCASION THAT THIS HAD BEEN PUT TO THE TEST, WITH THE QUOTE AIRE F UNQUOTE, THE SHIP HAD GOT AWAY.

BUT

WHILE STATE UNDERSTOOD THAT THE PRINCIPAL REASON FOR THE

FAILURE TO HOLD THE AIRE F HAD BEEN LACK OF TIME TO TAKE THE NECESSARY ACTION IN LOCAL CONTACTS WITH U.S. REPRESENTATIVES, HONG KONG OFFICIALS HAD REPORTEDLY ALSO REFERRED TO THE VESSEL'S MALTESE FLAG (ALTHOUGH CLEAR EVIDENCE WAS AVAILABLE OF ITS FRY OWNERSHIP).

THEY HAD ALSO APPARENTLY DECLINED TO PROVIDE INFORMATION ON THE VESSEL'S NEXT DESTINATION, AND RAISED A RANGE OF TECHNICAL QUESTIONS ABOUT THE APPLICATION OF SCR 820. ALL THIS LED THE

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