Cypher/Cat A
CONFIDENTIAL
141
HONG KONG TO COMMONWEALTH OFFICE
Telno 2061
CONFIDENTIAL
Harbour Tunnel.
5 October 1968.
RECEIVED
ECEIVED:
ARCHIVES 25.63.
-7 OCT10
HWB 2115
London Press reports quote E.C.G.D. as saying, after reference to their requirement that the loan be jointly and severally guaranteed by shareholders (of whom they understood the Hong Kong Government to be one) that "it is also necessary and is a formal requirement of projects of this nature that the Government or Central Bank of the country concerned should give a guarantee of repayment of the debt".
2.
These statements, if in fact made, will draw this Government further into public explanations arising from break- down of the negotiations. I should be grateful if I could be informed:
(1) Whether the offer on basis of joint and several guarantees was conditional on this Government's participation as shareholder. We have never been so informed, although, as you are aware, participation has no legislative sanction. This would, of course, be tantamount to a Government guarantee of the whole project.
2) What is meant by the phrases "formal requirement" a project of this nature" and "the country concerned the contract of this commercial undertaking".
in
Sir D. Trench
FILES
H.K.D.
EXPORT PROMOTION DEPT.
C.F.P.D.
EEEEE
ม
LAST
R2F.
NEXT.
REF.
147
ि
Just
CONFIDENTIAL
Cho anh
ст
on Somers
Roon 311
о
A.0.7
Victoria
11/10
&
No comments yet.
Private notes are available after approval.