TNAG-0206-FCO40-242-Construction-of-a-cross-harbour-tunnel--under-Hong-Kong-harb-1969 — Page 114

IMMEDIATE

DJ

HONG KONG D

D

28

CYPHER CAT/A

IMMEDIATE HONG KONG

TELEGRAM NUMBER CREDA 4

TO BOARD OF TRADE

18 JANUARY 1969

R

22

41

CONFIDENTIAL

ADDRESSED LONDON (FOR C.R.E.D.

TELNO

) A CREDA 144 OF 18m

JANUARY REPEATED E.C.G.D. BOARD OF TRADE AND FCO

FROM TRADE COMMISIONER FOR TOMS.

MY CREDA 003 CROSS HARBOUR TUNNEL.

22

| MUST AGAIN IMPRESS ON YOU THE DAMAGE THAT IS BEING DONE BY

FAILURE TO KEEP THIS POST ADVISED OF THE LINE BEING TAKEN BY

ECGD ON THE TUNNEL. THE ONLY MESSAGE OF SUBSTANCE THAT I HAVE

RECEIVED SINCE I FIRST GAVE NEWS OF THE FRENCH BID ON DECEMBER

16) 28, IS EXCED 5 SAYING THAT AN ECGD REPRESENTATIVE WOULD GO TO

PARIS FOR TALKS ON 14 JANUARY.

2. I SHOULD AGAIN EMPHASISE THAT I AM NOT (REPEAT NOT) PRIVY TO THE TELEGRAMS THAT FCO EXCHANGE WITH THE HONG KONG GOVERNMENT, ALTHOUGH I HEAR RUMOURS THAT COMPERTHAITE HAS BEEN ASKED BY

WHITEHALL TO DIVULGE THE TERMS OF THE FRENCH OFFER,

3.

I NOW HEAR RUMOURS THAT ECGD HAS BEEN PURSUING WRECKING TACTICS, AND HAS SOMEHOW PERSUADED THE FRENCH TO THINK IN TERMS OF SIMILAR GUARANTEES TO THOSE PREVIOUSLY SOUGHT BY ECOD,

IS THIS TRUE?

4.. THESE LATEST RUMOURS ARE CAUSING INCREASING BITTERNESS

IN BOTH GOVERNMENTAL AND BUSINESS CIRCLES, AND I CAN DO NOTHING TO COUNTERACT THIS FEELING UNLESS I AN BRIEFED BY YOU. IN ADDITION IT SEEMS LIKELY THAT MY SOURCES OF INFORMATION HERE - MAY NOW BE CLOSED TO ME, AND I WILL BE UNABLE TO SORT THE

WHEAT FROM THE CHAFF IN THE VARIOUS RUMOURS THAT ARE CIRCULATING, UNLESS I HAVE SOME GOOD INFORMATION FROM AT LEAST ONE END OF THE GAME.

9)

5. IF IT IS TRUE THAT WE ARE IN FACT ADOPTING WRECKING TACTICS,

THEN I DO NOT COMPLAIN. SUCH A COURSE WOULD NOT BE INCONSISTENT WITH MY RECOMMENDATION IN PARA. 5 OF MY CREDA 001 TO YOU. HOWEVER YOU WILL NO DOUBT DEAR IN FIND THAT CLAGUE, MARDEN,

AND KADCORIE CONTROL A GREAT DEAL OF BRITISH EXPORTS TO HONG KONG,

AND WE SHOULD LOSE NO OPPORTUNITY OF TRYING TO SOFTEN THE BLOW FOR THEM.

FCO PLEASE PASS IMMEDIATE C.R.E.D. AND PRIORITY E.C.C.D. BOARD OF TRADE.