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People's Court directive which forbids PSB intervention in economic disputes: I am faxing the text to Peking, with our translation. We are also working on other legal points which we might deploy in our further approaches to the Chinese. We understand that it would, under Chinese law, be open to the Zhengzhou company with which Chong is in dispute to seek a civil judgement in China, which if recognised by the Hong Kong Suprene Court could then be enforced here.
4.
We have also discovered, from Prof Anthony Dicks (who accompanied Lord Howe's human rights delegation to China) that provisions now exist under which Chong's family could ask for a judicial review. We have briefly mentioned this to Chong's daughters. They appeared interested, but there would be obvious practical difficulties for them, since they live in the US and they would need to hire a lawyer to petition the Courts in Zhengzhou. It would be helpful to know from Peking whether the Embassy could provide any assistance (e.g. help in identifying lawyers) if they request it.
Police Contacts
5.
We were puzzled at the Chinese claims (e.g. in Peking telno 1083) that we had been refusing the Zhengzhou PSB visas to visit Hong Kong. It transpired when we checked that visas had not been applied for. But the Royal Hong Kong Police (RHKP) subsequently received a further approach on Interpol channels asking for an invitation to visit Hong Kong from 30 August to 6 September.
6.
As you will recall, our initial view was that the police channel might help to shed light on what was happening to Chong and why. But on reflection, and after further discussion with the RHKP, we decided that the risks of allowing a visit outweighed the possible advantages. We have no evidence that Chong has done anything that would be regarded as an offence in Hong Kong. It is possible that the PSB might be able to gather material in Hong Kong, for example from Chong's company, which might later contribute to his conviction and sentencing (which could be harsh, not excluding the death penalty). There would be obvious scope in this for damaging publicity. The RHKP have therefore tactfully declined to issue the invitation, on the grounds that this still appears to be a civil case.
7.
Our further discussions with the RHKP have incidentall revealed that the FSB had told them at an earlier stage that Chong was suspected of fraud offences under Laws 151 and 152 of the Chinese Criminal Code. This is the only official indicatic we have seen of the basis for the investigation against him. The RHKP have also told us of their suspicion that Chong may no be entirely innocent: there were apparently allegations several years ago, never substantiated, of fraudulent dealings with a
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