TNAG-0426-FCO40-472-Construction-of-an-underground-railway-system-in-Hong-Kong-1973 — Page 180

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

SECRET

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326

3.2

337

318

RECET

REG!

12 DELAYS

HRK 21/+

Mr Youde PS/Mr/Royl

PS

NEXT

KET

326 321 (337

Asmo.

A.R.

318

HONG KONG MASS TRANSIT SYSTEM

1.

Secretary of State,

n' Stuart

HK10 Dept

i

apreec

섹스

Crowse

Dr Goodfell 102

340

THAT?

T

The Anglo-Italian consortium have put forward in Hong Kong

a bid which Mr Haddon-Cave said that he regarded as acceptable

for further negotiation in competition with the Japanese

(Hong Kong telno. CREDA 147). Subsequently, however, the Governor

sent a message to the Secretary of State for Trade and Industry

(Hong Kong telno. 1397) suggesting that further improvements were

still necessary if Executive Council was to agree to validate

the Anglo-Italian bid.

2.

The DTI have done their best and Mr Walker has now sent

another message to the Governor to meet his deadline of 7 December.

Hopefully, this will be enough. But we have not been able to

promise the improvement in the escalation clause for which the

Governor asks.

3.

The Governor does not know of the Prime Minister's

directive that it was essential that we should win this contract

Prime Minister's minute of 26 September). The danger in telling

him is that he might conclude that the Hong Kong Government can

squeeze the Anglo-Italian consortium beyond what is commercially

prudent. But he should also realise that the DTI are unwilling

to do this and that in the last resort the Prime Minister's

directive is not without relevance to the British Government of

A

Hong Kong.

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