CONFIDENTIAL ##
機密
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Disposal of Forfeit Contraband and Vessels
8. Following the successful prosecutions, most of the goods seized were forfeit to the Crown and disposed of by the Director of Government Supplies. So far, no application for confiscation of vessels has been made but this would be considered in serious cases. To date, no requests from the Chinese authorities for the return of forfeit goods have been made.
The Smugglers' Response
9. As a result of the Government's actions, smugglers are increas- ingly complying with legal requirements. Since January only two cases have involved Hong Kong junks as opposed to 19 Chinese. current practices are as follows:-
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Goods exported by Chinese fishing vessels are covered by Manifests and Export Licences and are allegedly consigned to Chinese communes. During the period, Marine Police have discovered 17 such cases. The vessels have had to be released as they are not in breach of Hong Kong law. Even the Shipping and Port Control Ordinance (which prohibits fishing vessels from carrying cargo) could not be invoked as the vessels were registered in China.
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Because the Shipping and Port Control Ordinance is being enforced Hong Kong registered fishing vessels are no longer being used, being replaced by trading vessels. Such vessels are allowed to carry cargo pro- vided manifests are completed and places of loadings notified. Of late, there has been an increase in such traffic at Public Cargo Working Areas, with the dest ination said to be Tap Mun. This declared destination is intended purely as a precaution in case of inter- ception in Hong Kong waters. The cargoes are in fact commonly trans-shipped to Chinese or Taiwanese fishing vessels outside Hong Kong waters, to be smuggled sub- sequently across the east China coast-line. Statistics for the alleged Tap Mun trade show over 5,000 tons of consumer items despatched to that island and nearly 2m. silver coins received from it in the first half of 1981. Intelligence sources indicate that there are several smuggling syndicates using this stratagem.
Another practice is to use smaller ocean-going vessels to carry goods from Hong Kong for transfer to Chinese junks near Taiwan or the Philippines. Such exports are properly. covered by manifests and export licences. their return, the vessels pick up gold or silver from Chinese junks. This scheme has been in operation for about two months and three vessels are believed to be actively involved, averaging two trips a month.
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CONFIDENTIAL
機密
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