CO537-3701 — Page 15

OUTWARD TELEGRAM

FROM THE SECRETARY OF STATE FOR THE COLONIES

$87.94001/28/48

Cypher (0.7.7.)

TO HONG KONG (Sir A. Grantham)

Sent 12th November, 198. 20.45 hrs.

$6

?

?

?

No.1162 Secret.

General deterioration of Ballonal Governent's position in China, following Cowaniet sweeeaaes in Worth and drive to manking and Shanghel, to sata log wyself and my colleagues serious anxiety expecially as rogarts possible repercussi eno en Hong Kong. As I expect you now know, the whole question is to be raised at Coreiaxienez-General's forthcoming rosting at Singapore, to which, I underetavi, you have been invited, and you will be doubt be preparing for thet weeting your own appreciation of these reperensione. 14 would be of the

eatest assistance to xe if an adrenne SBAZT of your Eppreciation could be telegraphed as soon as possible.

I am giving argent consideration here to matters in which it may be practicable to assist you in putting Hong Kong into a state of preparedness with the least possible deley, and a separate telegram will follow on this and other peints; but it is clearly desirable that plans to deal with situations which might develop fron large influx of refugees - your letter to Sidebotham of 25th October rotere (either alone or with bodies of defeated Nationalist troops)`and/or "ould war' tasties by comandate ether in our outside Hong Kong not involving actual hostilities should be compleŝod with leset possible delay.

3. I assume that, 12 Hong Kong were faced with refugee influx en a big sale, of widespread strikas, it would be necessary to invoke the assistama of the Military Authorities to deal with it, and should be glad of confirmation that this would be the oas

I have rocsivel your telegram of Sle 1th November regarding loan of rice to Shanghai, and, in this connection, should be glad to know that reesures yun consider necessary, or practicable, to build up stock of food supplies to meet a possible substantial increase in the population of Hong Hong and the Now Territories arising Cro influx of refugees8.

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