TNAG-0381-FCO40-427-Sterling-assets-and-balance-of-payments-of-Hong-Kong-1973 — Page 203

CONFIDENTIAL

PRIORITY.

GR 115

CYPHER CAT A

FM BANGKOK #50833Z OCT

M

RAGERY No. 31

TOP COPI

PA

183

CONFIDENTIAL

8 OCT 1973

HKK 571

TO PRIORITY F C O TELNO 431 OF 5 OCTOBER 73. FOLLOWING HK AND 10 DEPT FROM APS/MR ROYLE

8

1. HADDON-CAVE IS MOST CONCERNED ABOUT THE WAY THE PROBLEM OF HONG KONG'S STERLING BALANCES IS BEING HANDLED IN LONDON AND THINKS THERE IS A LACK OF WILLINGNESS ON THE PART OF FCO OFFICIALS TO FIND A VIABLE SOLUTION OR TO HELP WITH THE TREASURY. HE HAS BEEN EXPRESSING THESE VIEWS QUITE OPENLY IN SINGAPORE. HE MAINTAINS STRONGLY THAT HIS FIRST LOYALTY IS TO HONG KONG AND THAT IF HE FAILS TO SECURE A SATISFACTORY AGREEMENT ON STERLING HE WILL

SERIOUSLY CONSIDER RESIGNING.

DE LA MARE

FILES

HKIOD

SIR D. WATSON

NIR YOUDE

CONFIDENTIAL