TNAG-1040-FCO40-1290-Future-of-Hong-Kong-1981 — Page 170

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Order or an addition to the Hong Kong Letters Patent, but the

suggestion in paragraph 14 above conforms to my minute of

7 May, Mr Clift's minute of 2 July, my letter to Mr Steel of

6 July and Mr Steel's reply of 28 July

Attorney-General's opinion.

containing the

16. It seems to me that an Order of the kind referred to

in paragraph 14 above would meet the Governor's requirements

satisfactorily provided that the Chinese did not take serious

offence because it purports to annex the New Territories

with effect from 1 July 1997.

17. The alternative of an Order under the Foreign Jurisdiction

Act 1890 (as mentioned in paragraph 7(c) above) is less

straightforward.

The New Territories would cease to be part

of Hong Kong's dominions when the lease expired and their

status would then change. Thereafter British jurisdiction

would depend on the actual situation (e.g. Chinese 'sufferance')

and could not be certified in advance. There would be

complications in the field of UK nationality.

Furthermore,

express provision to facilitate the grant of Crown leases

running after 30 June 1997 would be needed. I put this

alternative forward to avoid the element of annexation but

prefer the more radical solution in my paragraph 14. I doubt

whether the Chinese would be much concerned about the specific

wording of our law so long as they were not alarmed by our

apparent intentions.

18. If you wish I will send a copy of this minute to Mr Steel

/ (either

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