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The proposed draft reply picks out only two ideas from Mr Sulke's speech, namely the proposals for withdrawl from the negotiations and the holding of a referendum. both areas there would be some advantage in going beyond a mere acknowledgement and placing the Government's views on record. It is worth bearing in mind that any reply sent may well become public in Hong Kong.
A J Coles Esq
10 Downing Street
You eve
Peter Ricketts
(P F Ricketts) Private Secretary
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