TNAG-2103-FCO40-2995-Future-of-Hong-Kong-exchanges-with-the-Chinese-on-the-Basic--1990 — Page 56

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020557

MDHIAN 9336

FUTURE SAR. ZHAO THEN ASKED WHETHER THE ADDITION OF A PHRASE TO

PROVIDE FOR PERSONS BORN IN HONG KONG WOULD OVERCOME THE PROBLEM AND BOSHER AGREED THAT SUCH AN APPROACH SOUNDED PROMISING.

6. ZHENG SAID HE WOULD REPORT THE EXCHANGE TO THE BLDC. HE ALSO TOLD CHEN OVER LUNCH THAT HE THOUGHT IT WOULD BE USEFUL FOR US TO CONVEY OUR VIEWS IN WRITING AND THAT, ALTHOUGH IT WOULD BE EXTREMELY DIFFICULT TO MAKE MAJOR CHANGES TO THE BL NOW, MINOR CHANGES MIGHT STILL BE POSSIBLE.

COMMENT

7. WE BELIEVE THE EXCHANGE WAS EFFECTIVE IN CONVINCING ZHENG THAT OUR CONCERNS ARE VALID AND MERIT SERIOUS CONSIDERATION. THE EXCHANGE SHOULD THEREFORE HAVE LAID A GOOD FOUNDATION FOR ACTION IN PEKING AND THE SUGGESTION OF THE ALTERNATIVE FORMULATION AGREED VIDE YOUR TELNO 428.

WILSON

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28.

DISTRIBUTION

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.HONG KONG AGREEMENT

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HD/FED

RESEARCH (FE)

PUSD NEWS D

PS/MR MAUDE

PS/LORD BRABAZON

MR GILLMORE

MR MCLAREN

ADDITIONAL

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MR WHOMERSLEY LEGAL ADVISERS MS BARRETT LEGAL ADVISERS

MR FIFOOT LEGAL ADVISERS

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