CONFIDENTIAL
051
MDLIAN 7224
ONGPIN, WHO SERVED AS THE MINISTER FOR TRADE AND INDUSTRY IN THE PHILIPPINES UNDER PRESIDENT MARCOS. NO DETAILS HAVE EMERGED SO FOR ABOUT CHANGES IN THE EDITORIAL STAFF BUT IT IS WIDELY ASSUMED THAT THESE WILL NOT BE LONG IN COMING. THE GENERAL ASSUMPTION AMONGST THE STAFF OF THE TWO NEWSPAPERS AND IN THE INDUSTRY, IS THAT THE TWO TITLES ARE IN FUTURE LIKELY TO ADOPT A LESS INDEPENDENT POSITION ON POLITICAL ISSUES.
5. IT SEEMS TO BE TAKEN FOR GRANTED HERE THAT CHINA HAS HAD A
HAND IN THE DEAL OR THAT KUOK HAS EITHER ACTED ALONE BUT THAT HE WILL FIND IT EXPEDIENT TO ADOPT A MORE UNDERSTANDING POSITION ON THE PRC'S OBJECTIVES AS 1997 APPROACHES. THERE IS SOME EVIDENCE TO SUPPORT THE CONSPIRACY THEORIES. FOR EXAMPLE, WE KNOW THAT A VICE DIRECTOR OF THE LOCAL BRANCH OF THE NCNA SPOKE IN CONFIDENCE ABOUT HIS HOPES FOR THE SALE A WEEK BEFORE RUMOURS STARTED TO MOVE THE MARKET.
COMMENT.
6 "
OUR ASSESSMENT IS THAT WE ARE LIKELY TO SEE A RAPID AND EXTENSIVE EROSIAN OF THE SCMP'S AND THE WAH KIU YAT PO'S EDITORIAL INDEPENDENCE. THIS IS NOT TO SAY THAT THE SCMP IS DESTINED TO BECOME THE ENGLISH LANGUAGE EQUIVALENT OF THE WEN WEI PO. THE STRAITS TIMES OF SINGAPORE IS A MORE LIKELY MODEL. IF THIS DOES HAPPEN QUICKLY, IT WILL MAKE OUR TASK OF CARRYING PUBLIC OPINION IN THE COMING MONTHS ALL THE MORE DIFFICULT.
7.
KUOK MAY FIND HIMSELF UNDER PRESSURE SOON FROM A NEW ENGLISH LANGUAGE DAILY. THE ORIENTAL NEWSPAPER GROUP, WHICH PUBLISHES OUR LARGEST SELLING DAILY, SUNDAY AND WEEKLY NEWSPAPERS, BELIEVE THERE IS SCOPE FOR A SPIRITED ASSAULT ON THE SCMP'S NEAR MONOPOLY POSITION. THEY ARE LIKELY TO MAKE A DECISION THIS WEEK ON WHETHER TO PROCEED. THE GROUP'S PUBLICATIONS HAVE STEERED A NEUTRAL COURSE ON POLITICAL ISSUES. AN ENGLISH LANGUAGE DAILY FROM THIS STABLE WOULD BE A SERIOUS COMPETITOR FOR THE SCMP AND WE ARE GIVING THEM EVERY ENCOURAGEMENT TO PROCEED.
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CONFIDENTIAL