CONFIDENTIAL

053041

MDADAN

2

HELPFUL TO KNOW WHETHER MINISTERS HAVE PREVIOUSLY SAID ANYTHING PUBLICLY ON THE SUBJECT. SUBJECT TO THAT, I PROPOSE TO SAY THAT MR GOODLAD WAS EXPOSED TO A GOOD DEAL OF PRESS QUESTIONING OF A KIND WITH WHICH LU HIMSELF IS FAMILIAR. MR GOODLAD WAS OF COURSE AWARE OF STATEMENTS BY LU AND OTHERS THAT THE BASIC LAW CANNOT BE CHANGED BEFORE 1997. IN RESPONSE HE SAID NO MORE THAN WHAT IS PATENTLY TRUE: THAT IF THERE WAS THE POLITICAL WILL ON THE CHINESE SIDE A WAY COULD BE FOUND TO GET ROUND THE OBSTACLES IN THE WAY OF AMENDING THE BASIC LAW BEFORE 1997 TO WHICH CHINESE SPOKESMEN HAVE

DRAWN ATTENTION.

5. LU COULD ALSO COMPLAIN ABOUT THE PRIME MINISTER'S RECENT MEETING WITH MARTIN LEE. ON THIS I MIGHT SAY THAT THE PRIME MINISTER LIKES TO KEEP IN TOUCH WITH POLITICAL OPINION IN HONG KONG. HE HAD PREVIOUSLY RECEIVED OTHER PROMINENT LOCAL POLITICIANS (EG BARONESS DUNN AND MR ALAN LEE) AT NO 10 BUT HAD NOT SEEN MARTIN LEE THERE. NO PARTICULAR SIGNIFICANCE SHOULD BE ATTACHED TO THE FACT THAT HE CHOSE TO DO SO ON THIS OCCASION.

I SHOULD BE GRATEFUL FOR ANY COMMENTS ON THE ABOVE LINE AND ANY OTHER INSTRUCTIONS YOU WISH TO SEND ME DESKBY 020030Z.

6.

MCLAREN

YYYY

ADVANCE

ó 5

.HONG KONG AGREEMENT

.(RESTRICTED)

MR BURNS HA

NNNN

DISTRIBUTION

HKD//HD

LEGAL ADVISERS//MS BROOKS SIR P CRADOCK NO.10

2

PAGE CONFIDENTIAL

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