TNAG-1981-FCO40-2814-UK-Hong-Kong-Scholarship-Scheme-donation-to-the-UK-Governme-1989 — Page 102

Foreign and Commonwealth Office

London SW1A 2AH

UNCLASSIFIED

F.a.o. Mr Albert Lai

Telephone 01-

270 2651

Your reference

FILE

471

母

Secretary for Education amd

Manpower

Government Secretariat

HONG KONG

FFCO 288/1

Our reference

Date

20 November 1989

Dear Mart,

UK (HONG KONG SCHOLARSHIP SCHEME: SIR S K TANGS DONATION

1.

We really do need to sort out the legal position of Sir S K Tang's donation. This has remained unresolved for over three years and money has been drawn down in circumstances where we are as yet unsure whether the proper legal aspects have been met.

2. I should therefore be grateful if you would consider, with your lawyers, the contents of this letter and its attachment and let me have advise as soon as possible.

3.

I enclose a copy of a (draft of a) letter which our Legal Advisers have sent to the Charity Commissioners here. I also attach a copy of the background papers for your lawyers perusal. These will give you an indication of the problems as we and the general direction we wish to go. Clearly we must try to arrange for the Cancer Research Institute to receive their share as quickly as possible and for the funds going to the UK/HK Scholarship Scheme to be put on a proper foundation. But we need to ensure that we are operating on a firm legal footing.

Live

There are specific points on which we would be grateful for your legal advice/opinion:

4.

(a) Has a valid trust been created in the law of Hong Kong by

Sir S K Tang's donation?

Assuming a trust has been created, what are the trust purposes? Who are the trustees? What are the trustees'

(b)

powers?

(c)

(d)

Are

How could such a trust be transferred to England and Wales? What would be the tax consequences of such a move? there any draw backs from a legal points of view?

If a valid trust has not been created, what is the legal

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