TNAG-1037-FCO40-1287-Future-of-Hong-Kong-1981 — Page 28

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(69)

RECEIVED IN REGISTRY NO. 51 2 3 MAR 1981

yo DECK OFFICED

INDEX?

RA

REGISTRY Action Taken

OC F C

DESKPY 200900Z

GRS 300

ميل

SECRET...

DESKBY 2209007

FM HONG KONG 200710Z MAR 81

TO IMEDIATE F. C O

TELEGRAM NUMBER 308 OF 20 MAR

FOR CLIFT, HKGD

the ICAR

WAS MA ADVANCED

FROM GOVERNOR

GGA

ANZ41

See

GA

YOUR TELKC 257: FUTURE

THE 1898 CRDER MUST BE AMENDED TO CREATE THE POSSIBILITY OF CONTINUITY OF ADMINISTRATION INCLUDING LEASES. TO DO THIS BEFORE ISSUING ANY POST-1997 LEASE WOULD MAKE SUCH LEASES INMURE FROM CHALLENGE. BUT I ACCEPT THE LEGAL ADVISERS VIEW THAT FOST-1997 LEASES COULD BE ISSUED NOW WITHOUT ALTERING THE ORDER PROVIDING THAT, IF SUCH A LEASE WERE SUCCESSFULLY CHALLENGED IN THE COURTS, IT WOULD BE REVALIDATED IMMEDIATELY BY AN ORDER IN COUNCIL. I UNDERSTAND THAT AN ALTERNATIVE MIGHT BE AN INSTRUCTION FROM THE S CF S TO THE CCVERNOR WHICH COULD LATER BE MADE PUBLIC.

2. WHILE A CHALLENGE IN THE COURTS MIGHT NOT MATERIALISE FOR SOME TIME, I SHOULD HAVE THOUGHT THAT THE LEGALITY OF THE GOVERNOR'S ACTION WOULD AT LEAST BE QUERIED IMMEDIATELY IN PARLIAMENT AND A MINISTER WOULD HAVE TO REPLY. WE BUST ACCEPT THAT THERE IS NO UNOBTRUSIVE WAY IN WHICH THE LEASE PRCELS COULD BE SOLVED. THIS WOULD NEED TO BE

EXPLAINED TO THE CHINESE.

2. THE SUPPLEMENATARY BRIEF LAST YEAR FOR TALKS BETWEEN CFFICIALS (MY TELNO 1265) COVERED CNLY LAND LEASES, IN THAT CONTEXT I BELIEVE WE SHOULD BE PREPARED TO CONSIDER ISSUING LONG-TERM LEASES WITHOUT A NEW ORDER, IF, AFTER DUE EXPLANATION, THIS WOULD BE EASIER FOR THE CHINESE. UNFORTUNATELY IT WOULD STILL LEAVE THE MAJOR PROBLEM UNRESOLVED

WHICH WOULD HAVE TO BE TACKLED BEFORE THE END OF THE DECADE. BECAUSE OF THE POINT IN THE LAST SENTENCE OF PARA ONE I WOULD NOW PREFER, IN PARA 8 OF MY TELNO 1265, TO SUBSTITUTE ''WOULD HAVE TO BE CONFIRMED PUBLICLY RATHER THAN BY LEGISLATION''.

5

4. IF HOWEVER THE CHINESE ARE NOT PREPARED TO DEAL WITH LEASES IN ISOLATION, THEN THE AUTHORITY TO ISSUE LEGALLY WATERTIGHT LONGER-TERM LEASES THROUGH AMENDMENT OF THE TERMINAL DATE OF POWERSĮ GRANTED UNDER THE 1898 ORDER IN COUNCIL IS ONE OF THE POINTS WE SHOULD INSIST ON AS PART OF A GENERAL

PACKAGE.

MACLEHOSE

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