TNAG-2029-FCO40-2891-Hong-Kong-freezing-of-Kuwaiti-and-Iraqi-assets-1990 — Page 117

CONFIDENTIAL

FM FCO

TO ROUTINE HONG KONG

TELNO 1896

OF 111929Z OCTOBER 90

CONFIDENTIAL

168

нив ого 126

работа

131525

MDLOAN 9718

RECT

どこ

17 OCT 200

FOLLOWING TELEGRAM NOW REPEATED TO YOU AT REQUEST OF HKD, WAS SENT TO PEKING TELEGRAM NUMBER 773 OF 07130OZ OCTOBER 90.

BEGINS:

AND TO IMMEDIATE WASHINGTON

INFO PRIORITY UKMIS NEW YORK, AMMAN

?

YOUR TELNO 1347: ALLEGED CHINESE SANCTIONS VIOLATIONS

1. THE QUOTE INDEPENDENT ON SUNDAY UNQUOTE OF 7 OCTOBER CARRIED

A FURTHER REPORT (COPY BY FAX ON ALLEGED CHINESE SALES OF LITHIUM HYDRIDE TO IRAQ. THE COMPANY CONCERNED IS NAMED AS THE CHINESE WANBAO ENGINEEREING COMPANY, A SUBSIDIARY OF THE CHINA NORTH INDUSTRIES CORPORATION (NORINCO). TWO CONSIGNMENTS OF THE CHEMICAL ARE SAID TO HAVE BEEN DELIVERED, ONE OF TEN KILOS AND THE SECOND OF TWO TONS, UNDER AN AGREEMENT TO SUPPLY SEVEN TONS MADE IN MID SEPTEMBER. WANBAO IS SAID TO HAVE BEEN INVOLVED IN BUILDING FACTORIES IN IRAQ IN PREVIOUS YEARS. DIPLOMATS IN PEKING ARE QUOTED AS SAYING THAT CENTRAL GOVERNMENT KNOWLEDGE OF

THE DEAL IS UNLIKELY.

2.

YOU HAVE DISCRETION TO INFORM THE CHINESE AUTHORITIES OF THIS REPORT. WASHINGTON SHOULD DRAW IT TO THE ATTENTION OF THE AMERICANS AND ASK WHETHER THEY HAVE ANY COLLATERAL.

ENDS

HURD

YYYY

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