CONFIDENTIAL
FM FCO
TO PRIORITY HONG KONG
TELNO 182
OF 261807Z FEB 93
CONFIDENTIAL
TOP COPY Q DIST 2
INFO PRIORITY PEKING, UKREP JLG HONG KONG
1
017233
MDLOAN 8673
012/4.
RECEIVED IN REGISTRY
3 MAR 1993
DESK OFFICER
REGISTRY
INDEX
PA
Action Taken
YOUR TELNO 274: NEW CHINA HONG KONG COMPANY LIMITED
1. Hum raised this issue with Zheng Jinjiong (Minister, Chinese Embassy) on 26 February.
2.
Hum said that we had seen a number of reports in the Hong Kong and British press (including one in that day's Financial Times) indicating that the HKMO of the State Council was a direct shareholder in this company, which would be investing in Hong Kong. We did not know whether these press reports were accurate. But the Chinese side would understand our concern at the possibility that the organisation primarily responsible for Chinese policy towards Hong Kong should also have a direct financial interest in the Territory. An apparent conflict of interest of this kind would not be helpful in terms of international confidence in Hong Kong's markets or perception of chinese policy towards Hong Kong.
3. Hum continued that the political adviser in Hong Kong had raised this issue with NCNA. He hoped that the Embassy would also take steps to establish the facts and let us have a response.
4. Zheng (Minister, Chinese Embassy) seemed to be aware of the issue. He said that as a general rule Chinese officials were not permitted to undertake commercial activities but that he would Look into the matter.
HURD
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