XN000022-1985-06-08 — Page 2

SATURDAY, JUNE 8, 1985

GOVERNOR FULLY INFORMED OF OTB

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THE ADMINISTRATION HAS MOVED VERY QUICKLY TO DEAL WITH THE SITUATION ARISING FROM THE INSOLVENCY OF THE OVERSEAS TRUST BANK, THE GOVERNOR, SIR EDWARD YOUDE, SAID THIS (SATURDAY) MORNING.

SPEAKING TO REPORTERS AT THE AIRPORT ON HIS RETURN FROM LONDON, SIR EDWARD SAID HE HAD BEEN KEPT VERY FULLY INFORMED ON MEASURES TAKEN ON THE OVERSEAS TRUST BANK IN THE PAST FEW DAYS.

+ I SHALL BE GETTING AN UP-TO-DATE REPORT ON THAT AS SOON AS

I GET BACK TO GOVERNMENT HOUSE,+ HE SAID.

RECOUNTING HIS TRIP TO LONDON, SIR EDWARD SAID HE HAD BEEN ABLE TO ATTEND THE TALKS BETWEEN THE PRIME MINISTER AND MR ZHAO ZIYANG, THE PREMIER OF PEOPLE'S REPUBLIC OF CHINA, AND ALSO THE TALKS BETWEEN SIR GEOFFREY HOWE AND FOREIGN MINISTER MR WU XUEQIAN.

+ THINK YOU MIGHT DESCRIBE THEM AS A REVIEW OF PROGRESS. THE KEY FEATURE WAS ONCE AGAIN THAT BOTH SIDES REITERATED VERY FIRMLY THE IR DETERMINATION TO CARRY OUT THE JOINT DECLARATION FULLY, HE SAID.

+WHILE I WAS THERE I WAS ALSO ABLE TO HAVE A TALK WITH MR LUCE, WITH SIR S.Y. CHUNG AND SIR ROGER LOBO ABOUT THE VIETNAMESE REFUGEES PROBLEM, AND ON THE DAY FOLLOWING I WAS AT A LUNCH WITH MR LUCE AND MR HARTLING, THE HIGH COMMISSIONER FOR REFUGEES FROM GENEVA, AT WHICH ONCE AGAIN WE WERE ABLE TO GET OVER THE GREAT IMPORTANCE WHICH WE ATTACH TO SOME MEASURES WHICH WOULD REDUCE THE NUMBER OF VIETNAMESE REFUGEES IN HONG KONG.+

ASKED WHAT MEASURES WOULD BE TAKEN TO REDUCE THE NUMBER OF VIETNAMESE REFUGEES IN HONG KONG, HE SAID THAT WAS THE QUESTION THE BRITISH GOVERNMENT WAS NOW CONSIDERING BECAUSE THEY HAD TO REPLY TO THE SELECT COMMITTEE REPORT.

+OF COURSE, ALL THE DISCUSSIONS WHICH SIR S.Y. HAS TOLD YOU ABOUT, AND THE DISCUSSION WITH MR HARTLING WILL BE VERY VALUABLE TO THE BRITISH GOVERNMENT IN THAT REGARD. BUT IT IS NOW FOR THE BRITISH GOVERNMENT TO DECIDE ON THEIR REPLY TO PARLIAMENT, HE ADDED.

ASKED TO COMMENT ON THE LEGISLATIVE COUNCIL (POWERS AND PRIVILEGES) BILL, THE GOVERNOR SAID: +1 HAVE BEEN ALSO KEPT FULLY INFORMED ON THAT, AND AS YOU KNOW, IT IS NOW BEING ARRANGED THAT THE BILL WILL GO BACK TO THE LEGISLATIVE COUNCIL BUT THERE WILL BE TWO WEEKS BETWEEN THE RESUMPTION OF THE SECOND READING AND THE CONCLUSION, SO THAT THERE SHALL BE A FULL OPPORTUNITY FOR MORE PUBLIC COMMENT.+

/IN REFLY