CO537-3705 — Page 97

88

1948

INWARD TELEGRAM

TO THE SECRETARY OF STATE FOR THE COLONIES

Cypher (0.1.P.)

COPY FOR REGISTRATIO

FROM HONG KONG (Sir A. Gradtham)

D.

26th January, 1948. 26th

1

BERNINA XIZZA CINCT, CYMRI) SE JEROVARLIKEFLAGMODE PARA = 19040013;

'''

07.55CEIVED.

hrs.

I

No 110 Secret.

I

H

REG

Addresged to S. of S.

Repeated to British Ambassador Nanking, No. 34.

to Canton as secret savingramn.

**

83

Canton telegrán o. 15.

This evades the sovereignty issue more

than does park proposal, but it does not (repeat not) settle it. On the other hand it would be acclaimed by the Chinese as a victory and nothing that we could say or do would alter this impression. It would be asserted that Chinese claim to sovereignty over Kowloon City had been (corrupt group) by us and therefore that eviction of aquatters was wrong, which in turn would lead to a claim for compensation.

2. Paragraph 2 under reference. I also disagree with this proposal. Prisoners in Hong Kong are not (repeat are not) used in outside work. Employment of two men as proposed would be public exhibition of martyrs, which would most likely compel me to release them (since they could not (repeat could not) again be treated as ordinary prisoners without accusation against us of breach of faith) in order to get out of an embarrassing situation.

3. I have consulted the Chinese Members of the Executive and Legislative Councils throughout.

Coples seat to:-

Foreign Office

Mr.

A.L. Scott