TNAG-0421-FCO40-467-Registration-of-merchant-shipping-in-Hong-Kong-1973 — Page 4

CODE 13-77

MR ARCHER

MAR

BERMUDA:

SEPARATE SHIPPING REGISTER

Reference

се

PS/Minister A & S

PS/FUSS A & S

Secretary A & S

Hr Hubback Dep Sec

Mr Standen

Mr Manson

Mr Madigan Mrs Wicks

Mr Frost

KAR.1

SG MAR

MAR.4

MAR. 16

SP1

Fir McMeekin SP2

Mr Whitaker SP3

Mr JC Philip

PCO

Mir A Stuart

FCO

(170)

Mr Standen has sent me a copy of his minute to you of 20 December on this subject. Needless to say I confirm that we are directly concerned about any proposal giving the impression of establishing a colonial flag of convenience. We will consider the proposal, but I would like to make two points at this stage. First, item (c) in Mir Standen's minute concerns the Ships and Aircraft (Transfer Restriction) Act 1939 which is administered by SP1 (Mr Frost). Secondly we should (as in the case of Hong Kong and the Cayman Islands) wish to oppose any widening of statutory access to the Bermudian register to attract foreign tonnage. At present as you know a company must be registered in and have its principal place of business in HM dominions if it wishes to place ships on the UK or a colonial register. To register in Bermuda 'ships which were not otherwise associated with Bermuda' (para.3 of Mr Standen's minute) would be in breach not only of section 1 of the 1894 Act but probably also of Article 5 of the High Seas Convention 1958 to which the UK is a party and which calls for a genuine link between ships and the State whose flag they are entitled to fly.

Miss.

GR W Brigstocke

SP

Adelphi Ext. 1840

R.464

28 December 1973

LAST ENTRY.