CONFIDENTIAL
HKB 243/11
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021653
MDHIAN 2656
в
CONFIDENTIAL
FM HONG KONG
TO IMMEDIATE FCO
TELNO 1346
OF 28120OZ APRIL 89
INFO PRIORITY UKMIS GENEVA
YOUR TELNO 913:
32
VIETNAMESE BOAT PEOPLE: FINANCE
1 I AGREE THAT THIS FIRST REACTION BY LEGCO -MEMERS WAS DISAPPOINT- ING.
IT REFLECTS ALL TOO CLEARLY THE MOOD OF LEGISLATORS, AND THE FEELINGS IN HONG KONG GENERALLY, WHICH WE HAVE BEEN REPORTING IN
RECENT MONTHS.
2. IN THE FIRST MEETING WITH LEGCO MEMBERS ON 22 APRIL, BOTH THE CHIEF SECRETARY AND THE SECRETARY FOR SECURITY MADE FULL USE OF THE NEWS OF HMG'S POUNDS 6 MILLION CONTRIBUTION (WE HAVE ALSO TRIED, AND WILL CONTINUE TO TRY, TO GET THE SIGNIFICANCE OF THIS MOVE RECOGNISED IN THE MEDIA). THEY ALSO REFERRED TO ANTICIPATED REIMBURSEMENTS FROM THE UNHCR AND THE POTENTIAL RESALE VALUE OF SAN
YICK AS ASSETS WHICH MIGHT BE SEEN AS OFFSETS TO THE FUNDS BEING REQUESTED. THESE RATIONAL EXPLANATIONS HOWEVER APPEARED TO CUT LITTLE ICE WITH MEMBERS WHO CLEARLY WISHED TO USE THE ADMINISTRATION'S
REQUEST FOR FUNDS AS AN OPPORTUNITY TO MAKE A POLITICAL POINT OF THEIR FRUSTRATION WITH THIS SUBJECT.
3. THE DCA APPROACH SUGGESTED BY SOME MEMBERS IS PARTICULARLY
ILL-JUDGED AND SHOULD BE SEEN AS LITTLE MORE THAN A DEBATING POINT. IT WILL PROBABLY BE REPEATED, NOTABLY BY MARTIN LEE, BUT WE DO NOT SEE IT GETTING MUCH SUPPORT, EVEN AMONGST THOSE WHO FEEL THAT A CONDITION SHOULD BE ATTACHED TO THE APPROVAL OF FUNDS. THE REFERENCE TO MANDATORY REPATRIATION BY RITA FAN WAS BASED ON HER OBSERVATION THAT ANY FURTHER APPLICATION FOR FUNDS SHOULD ONLY BE ENTERTAINED IF ARRANGEMENTS HAD BEEN AGREED WITH VIETNAM FOR MANDATORY REPATRIATION. SHE WAS PROBABLY TRYING TO BE HELPFUL BY SUGGESTING A
MORE ACCEPTABLE FORM OF CONDITIONALITY. IT IS AN IDEA WHICH MAY UNFORTUNATELY ATTRACT SOME MEMBERS WHO WILL FAIL TO THINK THROUGH THE IMPLICATIONS IF VIETNAM CANNOT BE MADE TO AGREE.
4. IT IS OF COURSE DIFFICULT TO PREDICT WHEN WE MIGHT NEXT HAVE TO APPROACH FINANCE COMMITTEE FOR FUNDS FOR NEW ACCOMMODATION. IT THE PRESENT RATE OF ARRIVALS CONTINUES IT WILL ALMOST CERTAINLY BE
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