8.
102
could in impressing upon the latter that these proposals
were reasonable and, while preserving the rights of the
Colony, would entirely meet the difficulties on both
sides. I accordingly instructed kr. Ingram to use his
influence with Mr. Maze to ensure that the prospect of
a settlement was not marred by some act of high-handed-
ness on the part of the Customs (see my telegram Number
483 of August 4th last).
6.
Your telegram Number 242 of the 21st of
August in reply raised the whole problem of the princi-
ples which should guide His Majesty's Government in the
event of failure to reach an agreement in the negotia-
tions that were then proceeding, and you asked my views
on four specific questions connected with the problem,
the most important of which was the suggestion that the
agreement giving Chins a footing in hongkong might be
used as a lever to secure her consent to our retaining
a footing in the howloon let sed territories after the
expiry of our lease in 1997, while failure to reach a
satisfactory/
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