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94001/79748

Morgan

31/1

INWARD TELEGRAM.

TO THE SECRETARY OF STATE FOR THE COLONIES.

2nd AMENDED COPY (Amendmenta «)

AMENDED COPY (Amendments underlined)

Cypher (0.T.F.)

FROM HONG KONG (Sir A.Grantham)

D. 28th January, 1949 R. 28th

19.50 hrs,

No. 84 TOP SECRET.-

- 3 FEB 1340

0.0. Rec

Addressed to the S. of S.

Repeated to Commissioner General Singapore by

savingram,

(3)

A

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Your telegrame No. 56 repeated to the Commissioner General No.48 and No. 73 not repeated to the Commissioner General,

(11)

Hong Kong Emergency Measures.

In the light of recent developments in China I coneider that the likelihood of refugees pouring into Hong Kong over the frontier in their thousands 18 now, if anything, lees than before. Neverthelese it is pessible throat (and) we should have plan ready to mest it should the circumstances and conditions change making it probability rather than possibility, nor do I consider incursion by guerillas likely as things are at the present. There is tacit understanding that, provided we do not (repeat not) unduly interfere in daily border smuggling

instruction so far as traffic into the Colony As concerned is to our advantage since large quantities of rice and other foodstuffs are brought in) guerillas and Chinese Government troops will not repeat not) bother

/ as and will respect the frontier. Le prepared.

but here again we mast My estimate is that the danger of large influx of refugees and guerilla attacks could not become Samediste within less then two monthe from now, even if communists were to devote efforte to bring them about. I should expect, say, one unostentatious warrdng that oither of these threats wag about to arise on a serious scale. As regards strikes there is possibility that germine industrial dispute will be used by the comic ts

or any other Chinese political party for that matter) to stir up trouble aby sympathetic * Unions.

strikes in other Whether comfists would deliberately initiate industrial and internal strife in the Colony depends largely on their overall policy towards the Colony end British Empire generally, foreigners and foreign interests in China in recent months

Their action towards seems to indicate that 'they will not be at present, rɔte deliberately, stirring up trouble, anticipate that it is a danger that might arise with little warning. While therefore we mist so for 90 possible be ready for any eventuality we must not (repeat sot) by precipitate overt preparatione.ge closing the frontier) Jurgelvan ore te the threatening vituation which we

*lah to avoid,

at any

We mist, however,

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