TNAG-0448-FCO40-513-Sterling-assets-and-balance-of-payments-of-Hong-Kong-1974 — Page 51

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

ZFLHMJA) 120/Y1/01

Registry

NO. ME9/39311

SECURITY CLASSIFICATION

Top Secrets

Secret.

Confidential.

Restricted:

Unclassified;

PRIVACY MARKING

In Confidence

DRAFT LETTER

To:-

DA Walker Esq HM Treasury

Type 1 +

FROM

S JG CAMBRIDGE

Telephone No. Ext.

Department

Fray A -146 11

c.c.

S W Payton Esq

CMG

Bank of England

Mr Stuart.

HRIOD

Mr

Aust Dog Legal Advisers

STERLING GUARANTEE: HONG KONG

Thank you for your letter of 12 June.

2. We are very happy with the substance of your draft telegram, which should provide Hong

Kong with the reasoned statement of our case

I would which may have been lacking higherto.

is however suggest that it was rather too abrasive

in tone. We have therefore made some amendments

to tone it down a bit and to incorporate the

legal points made by Tony Aust. the inclusion of

wo nove added three other points:

In addition suggest

(a) I hope that the reference in para 5

to "working" days will make it more acceptable

(نا)

to Hong Kong. I have also added a sentence at the end of paragraph 6 in an attempt to counter

Hong Kong's arguments that they need a particularly long grace period because they find it difficult to know exactly (or even approximately) how much

sterling they hold at any given time; and

(c) I have attempted to strengthen the para plea

in the last paragraph for them to look forward rather than back, with the addition of the

sentence at the end of paragraph 5.

(3002) Dmd. 145244 400M 10/73 L.Ltd. 839/1

NOTHING TO BE WRITTEN IN THIS MARGIN

CONFIDENTIAL

1

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