CO537-5116 — Page 84

INWARD TELEGRAM.

TO THE SECRETARY OF STATE FOR THE COLONIES.

10 AUG 1049 3

COPY FOR REGISTRATION

cypher (0.T.P.)

940951

FROM HONG KONG (Bir A. Grantham)

1948

D. 9th August 1949

07.25 hrs.

R.

9th

No. 812

Secret

Addressed to 8. of S.

Savingram to Commissioner General Singapore and

Canton.

(33)

My telegram No. 805. (334)

I have examined whether this Communist press release

can be considered as overstepping the limits given to the Press here (see in this connection reply to Parliamentary Question given in your telegram No. 1005 to me). Clearly it is an outrageous abuse of the freedom of the Prese and a smear on the name of the Royal Navy,

Three courses of action were open:

2.

(a)

Defcention

(b)

(18)

(c)

Sedition Endre q

To prosecute the New China News Agency under Ordinance 1 of 1887 and 13 of 1938. This would necessitate witnesses, possibly including Admiral Brind, appearing in court and is clearly undesirable. 14

To close down the New Chine Nows Agency completely. Objections to this have been stated in a telegram to me No. 207 and your telegram No. 716 and in present case it is difficult to prove that there la a direct threat to local law and order which would juetify closure.

To give a strong warning to Agency that in any further case firm action would be taken (such action might mean immediate closure)

(35)

30

On balance it was felt that course (c) was best, and e letter, text of which is contained in my immediately following telegram, has been delivered to Chiao H, Director of New China News Agency. Further, text of this letter has been released to the Presa through P.R.O.

440

Mu

I have hesitated in this case to take stronger action in order not to cause embarrassing repercussions in China which might affect position of H.M, Ambassador and British subjects. Clearly, however, time has come to show that further abusee of our hospitality

I should be grateful if and freedom of press will not be tolerated. you would confirm that I am now froe at my discretion to teke immediate action, including the possibility of closure against the Agency should any further flagrant breach occur.