TNAG-1169-FCO40-1449-Future-of-Hong-Kong-1982 — Page 7

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CONFIDENTIAL

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AF 15/4

GOVERNMENT HOUSE

HONG KONG

6th April 1982

204

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Sin MM. Acknowledging

UMELCO AND THE FUTURE OF HONG KONG

25

O.Y.

1419

1. A small group in UMELCO led by T S Lo, and for the (2 most part consisting of younger members, was formed to study the problem of the future of Hong Kong and consider ways of solving it. The proposal to set up this group was made at a full meeting of UMELCO, and as the more senior members generally, and Sir S Y Chung in particular, refused to have anything to do with it as it could be an embarrassment to the Government, Lo Tak-shing was to be Chairman. It was left that at the next full meeting of UMELCO terms of reference for the group would be considered. It was at this point that I heard about it.

2. At the next meeting of Ex.Co. I referred to this and warned of the dangers of not remaining totally united, or of speaking with different voices, in the period ahead. I said that members' concern, and sense of frustration at their inactivity when the future of their home was ut stake was very natural. Nevertheless I thought that if the press or NCNA learnt that a UMELCO group had been set up it would be a pity. I suggested that instead the Governor should meet UMELCO fairly regularly to discuss progress, and hear from members any information they had to give or suggestions they had to make.

R D Clift Esq

FCO

CONFIDENTIAL

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