TNAG-0025-FCO40-61-Relations-with-other-countries-in-South-East-Asia-1968 — Page 21

:

CONFIDENTIAL

THE

AND

Present:

SECRETARY OF STATE

NOTES ON A

MEETING

BETWEEN

SECRETARY OF STATE FOR DEFENCE

THE PRIME MINISTER OF MALAYSIA

ON MONDAY, 1ST JULY 1968

cupes to Ashi Shephew PSM Whitlove

pspus

M Rub

M Miretin in Carter

In Reed (tipulty.

1 2200,

The Tunku,

Prime Minister of Malaysia.

H.E. Tan Sri Abdul Jamil bin Abdul

Malaysian High Commissioner.

Mr. Zakaria bin Haji Mohd Ali,

Deputy High Commissioner.

Rais.

The Rt. Hon. Denis Healey,

Defence Secretary.

Marshal of the Royal Air

Force Sir Charles Elworthy, CDS.

Sir James Dunnett,

PUS.

Mr. F. Cooper,

DUS(P).

Mr. E. Broadbent,

PS/Defence Secretary.

The Tunku said that he was very worried that the Naval Base in Singapore had been handed over without any guarantee that it would not be used for some other purpose. The security of these facilities was very important to South East Asia and arrangements should be made to prevent the base falling into the hands of the communists. His concern was heightened by the policies which the Singapore Government were

following in that they had friendly relations with North Korea and with North Vietnam and through them and in other ways were developing contacts with China. The way in which the Emporium chain stores were building up in Singapore, and to a lesser extent in Malaysia, might seem a small thing, but they were in effect nothing less than a Chinese spy ring. The Tunku acknowledged there was no danger at present, but he was looking to the future and to the possibility that Singapore might be influenced to let communist countries use the Naval Base.

2.

The Defence Secretary commented that, so far as the development of commercial relations by Singapore were concerned, it was understandable that they wanted to enlarge their trading markets and, with the troubies in Hong Kong, that they should try to build up trade relations with some of the communist countries. In his view the best way to discourage this would be for other South East Asian countries, such as Indonesia and Malaysia, to offer Singapore increased scope for trade.

3. On the