TNAG-1852-FCO40-2627-House-of-Commons-Select-Committee-on-Foreign-Affairs-enquiry-1989 — Page 78

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MDHIAN 4218

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FM HONG KONG

TO DESKBY 13130OZ FCO

TELNO 3760

OF 13113OZ NOVEMBER 89

HKB Oil 13

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INFO IMMEDIATE PEKING, UKREP JLG HONG KONG, BTC HONG KONG

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YRTELNOS 2266-2267: FAC REPORT ON HONG KONG

1. OUR COMMENTS ON SECOND TUR ARE AS FOLLOWS.

2. PARA 1

REFERENCE TO QUOTE A VALUABLE CONTRIBUTION TO THE DEBATE ON THE FUTURE OF HONG KONG UNQUOTE CARRIES WITH IT THE IMPLICATION THAT THE FUTURE OF HONG KONG STILL REMAINS TO BE DECIDED. YOU MAY WISH TO CONSIDER A MORE NEUTRAL FORMULATION ALONG THE LINES QUOTE A VALUABLE CONTRIBUTION TO ITS THINKING ON ISSUES OF MAJOR IMPORTANCE TO HONG

KONG UNQUOTE.

3. PARA 4

WE AGREE WITH THE COMMENT IN PARAGRAPH 2 OF PEKING TELNO 1993.

4. PARA 7

IN THE FIRST SENTENCE YOU MIGHT REPLACE QUOTE IN BREACH OF UNQUOTE WITH QUOTE BE SEEN AS CONFLICTING IN SOME WAY WITH UNQUOTE. THE LAST SENTENCE SHOULD READ QUOTE IT IS INTENDED TO PUBLISH. A DRAFT BILL FOR PUBLIC CONSULTATION BY THE END OF THIS YEAR AND TO INTRODUCE DRAFT LEGISLATION BY JULY 1990 UNQUOTE.

5. PARA 8

THIS TEXT OMITS THE ALL-IMPORTANT WORDS IN JD 148. SUGGEST WE FOLLOW ITS WORDING BY ADDING QUOTE FOR THE PURPOSE OF DEFENCE UNQUOTE AFTER QUOTE IN THE SAR UNQUOTE.

6. PARA 10

THE SECOND PART OF THE LAST SENTENCE IS PROVOCATIVE. WE NOTE PEKING'S SUGGESTION TO SUBSTITUTE QUOTE COMPATIBLE UNQUOTE FOR QUOTE CONSISTENT UNQUOTE, BUT FEEL THAT IT IS BETTER TO STOP AFTER QUOTE HONG KONG UNQUOTE AND DELETE THE REMAINDER.

7. PARA 14

THE FIRST SENTENCE SHOULD STOP AFTER QUOTE HONG KONG UNQUOTE. THE PROBLEMS WITH THE FORMULATION BASED ON QUOTE VALUE OF SERVICE TO

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