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CONFIDENTIAL
FM HKONG XBG RØ022 12 JAN83
TO EXTOTT GPO
INFO PEK IN LDN
DISTR GPP GPS ZEP DOO MAA
FUTURE OF HKONG
JAN 13
HEGED know notturgy of pana 3
09:46
This document is the property of the Goverment
DENE
Tead
Canada
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I is provided on condition that it is for use solely by ther Intelligence community of the receiving Government and that ⠀ not be reclassifed with out the express pandiosios d the Govern-
ment of Canada
Le présent dommen Canado. les com....
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See 136
FOR SOME WEEKS NOW THERE HAVE BEEN NO/NO NEW PRONOUNCEMENTS FROM
QUOTE CHINESE SOURCES UNQUOTE ON FUTURE OF HIKONG AND THIS HAS
HELPED TO STEADY NERVES HERE HOWEVER GROUP REPRESENTING
VARIOUS INTERESTS IN NEW TERRITORIES IS CURRENTLY IN PEKIN
AND IS EXPECTED TO SEE LIAU CHENG ZHI, A KEY FIGURE WHO HAS
BEEN SOURCE OF UNSETTLING COMMENTS IN PAST.MANY HERE ARE
WATCHING WITH INTEREST OUTCOME, MORE SO AS THIS GROUP COMES
CLOSER TO REPRESENTING A QUOTE GRASS ROOTS UNQUOTE VIEW FROM
AREA OF HKONG STATUS OF WHICH IN 1997 IS IN NO/NO DISPUTE.
2.0F MORE CONCERN AT MOMENT ARE SERIOUS PROBLEMS IN FINANCIAL
AND PROPERTY SECTORS.AS REPORTED EARLIER ONE MAJOR PROPERTY
DEVELOPER(CARRIAN) IS VIRTUALLY BANKRUPT AND RESCUE ATTEMPTS
APPEAR TO BE FLOUNDERING. IN ADDITION SEVERAL DTCS (DEPOSIT
TAKING COMPANIES) ARE IN RECEIVERSHIP AND OTHERS IN TROUBLE.
INCIDENTALLY ARRIVAL OF CHINESE NEW YEAR NEXT MONTH MAKES
PROBLEM MORE ACUTE AS STRONGLY HELD CUSTOM IS THAT NO/NO DEBTS
SHOULD BE OUTSTANDING GOING INTO NEW YEAR AND THIS HAS OBVIOUS
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