SECRET
$ 435
SECRET
FM HONG KONG 171035Z MAY 79
TO PRIORITY F C O
TELEGRAM NUMBER 597 OF 17 MAY
INFO PRIORITY PEKING
83
MY TELNOS 548 AND 549: FUTURE OF HONG KONG,
Hkkowol
INDEX
•
100
23. 51
18 MAY 1979
no 185.1
PEALISTRY
vá - akan
- Taken
See (111)
SUNG'S REMARKS PROMPTED SEVERAL EDITORIAL COMMENTS IN THE CHINESE PRESS. TWO OF THESE ARE OF INTEREST (FULL TEXTS BY BAG):
(1) THE NEW EVENING POST (THE THIRD RANKING COMMUNIST PAPER) OF 8 MAY SAID THAT SUNG'S REMARKS SHOWED THAT THERE WOULD NOT BE
ANY CHANGE IN THE NEW TERRITORIES IN THE NEXT 18 YEARS: THAT
CHANGES WOULD COME ONE DAY BUT NOT NECESSARILY IN PRECISELY 18 YEARS: AND THAT WHEN CHANGES OCCURRED INVESTORS WOULD HAVE A GUARANTEE. NO OTHER COMMUNIST PAPER HAD ANY COMMENT.
(11) THE MING BAO (NEUTRAL) OF 9 MAY COMMENTED (AS HAVE OTHER PAPERS) THAT IT IS UNCERTAIN WHETHER CHINA WILL EXTEND THE LEASE
IN 1997 OR NOT AND THAT CHINA SHOULD GIVE ADVANCE WARNING OF ITS INTENTIONS SO THAT INVESTMENT IS NOT AFFECTED. THE EDITORIAL ALSO SAID: "IT HAS BEEN REPORTED THAT DENG TOLD THE GOVERNOR: 'CHINA MAY OR MAY NOT CLAIM BACK HONG KONG IN 1997. NO MATTER WHAT HAPPEND PLEASE TELL HONG KONG INVESTORS NOT TO WORRY, THEY
WILL NOT SUFFER ANY LOSS ON THEIR INVESTMENTS.
2. THE MING BAO REPORT OF WHAT DENG SAID IS ALMOST A DIRECT QUOTE. IT COULD ONLY HAVE COME FROM SOMEBODY WHO KNEW IN DETAIL
WHAT HAD BEEN SAID AT THE PEKING MEETING. WE ARE CONFIDENT THAT THERE HAS BEEN NO LEAK FROM OUR SIDE WHERE THE RECORD OF THE DENG MEETING HAD AN EXTREMELY RESTRICTED CIRCULATION. IT MUST THEREFORE HAVE COME FROM SOMEBODY, PROBABLY SENIOR, IN THE LOCAL
PARTY HIERARCHY,
3. ONE REASON FOR PUBLICISING THIS VERSION OF DENG'S REMARKS COULD
BE THAT THE CHINESE DO NOT LIKE HAVING ON THE RECORD ONLY WHAT WAS SAID ABOUT CONFIDENCE IN INVESTMENT WITHOUT THE COROLLARY THAT THIS WAS TO APPLY WHETHER OR NOT CHINA TOOK OVER HONG KONG. THERE
IS AN ALTERNATIVE, MORE COMPLEX, EXPLANATION. SUNG'S REMARKS,
SCRET
/AS
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