TNAG-1243-FCO40-1557-Future-of-Hong-Kong-1983 — Page 92

S (GD)

CONFIDENTIAL

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MKK040/1

RECEIVED BY BELS

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1283

CM13/12

Future of Hong Kong

Mr Eric Hoting telephone me yesterday just before

leaving for a two month visit to the US. He said he had

been in Peking at the time of the last round of the talks,

and from what he had heard while there "the signs are very

good". He had been told privately by "WANG" that "we are

not going to interfere with anything". He had also been

asked directly by YANG Yidong (who, according to Mr Hotung, is now effectively running the Hong Kong and Macau Office

in Peking): "What do you think we ought to do (in Hong

Kong) ?"

2.

Mr Hotung interpreted these and similar remarks as indications that the Chinese had been convinced by British

arguments that they could not run Hong Kong. In fact, as he put it, "you fellows have won". He offered his

congratulations.

This conversation tends to confirm our impression

that Mr Hotung is out of touch with reality.

! |

3.

CC DPA

(R JT McLaren)

PA

29.11.83

SecLic

DSB HSG

Chancery PEKING

HKD,

FCO

CONFIDENTIAL

'772)