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to justify particularly as the real reason is the international -strategic

situation. The proposals were rather out of step with constitutional develop-

ment in other territories and a departure from the policy laid down.

Sir C. Jeffries said that the Small Colonies Committee had seen the

1949 proposals but that their task was mainly to advise on future developments

rather than immediate problems. They thought that the objective in city-states

such as Hong Kong should be the avoidance of duplication and that we should

aim at giving a new direction to constitutional developments. Instead of

following the Parliamentary model, we should envisage something similar to a

Borough Council, which would be an executive as well as a legislative body. The

Secretary of State raised the question of a time table and asked if there was

any immediate hurry. Sir A. Grantham thought that the open despatch should

arrive just about he time he got back which was the end of October, and in

the meantime we could take up with Mr. Nicoll the question of the size of the

majority and the terms of the open despatch.

Sir C. Jeffries said that one problem had been the size of the

unofficial majority. This had been discussed in detail with the Governor and

it had been agreed that if there was to be a majority the size was a secondary

matter. It was in any case essential that the Governor should have reserve

powers to veto legislation or to legislate without the approval of Council.

Sir A. Grantham pointed out that one of the difficulties in Hong

For example in many of the

Kong was the question of British nationality.

bordering villages the women came into Hong Kong to have their babies and then

retumed to China. The babies were technically British subjects but on the

other hand in Chinese eyes the law of blood regardless of place of birth was

the governing factor. Once a Chinese always a Chinese.

The Secretary of State concluded by saying that this was a very

difficult problem and he would like to consider it at leisure and have a

further discussion with Six. A. Granthem at some later date. It might be

possible to do this when he saw Sir A. Grantham on Tuesday afternoon next.

SGD.

H. P. Ha11

30th June, 1950