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41

Sir V. Wellesley pointed out the danger of

seeming to dispose of that which it might not be in our

power to give; the danger of encouraging Hong Kong to

think that we were going to keep the New Territories for

ever, when we were under an obligation to return them-

an obligation which the Chinese would probably invoke and

which the League of Nations if called on to intervene

would undoubtedly confirm; the danger of arousing

propaganda among the Chinese, not only in the South but

throughout China, if Sir Cecil Clementi's proposals were

acted on;

the danger of giving the lessees a claim

against His Majesty's Government, if it were found

impossible to secure them in the rights stipulated in the

new leases.

It was however generally recognised by the

conference that it would be unfortunate if development

around Hong Kong harbour were suspended owing to (perhaps exaggerated) apprehensions regarding security of

tenure.

It was therefore suggested and agreed that a way out of the difficulty might be found (a) by issuing

leases for short periods renewable either indefinitely

or for a stated number of times at the lessee's option

on application to the proper authorities; or (b) by

issuing leases for 65 years, renewable at the lessee's

option. Either of these methods would give the lessees

title to their land running on into the period when the

leased territories may have to be returned to China, but

without providing such material for propaganda an

Sir C. Clementi's original proposal, and without compelling us to prejudge the situation that may arise nearly seventy

years hence.

It

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