TNAG-2126-FCO40-3036-Investment-in-Hong-Kong-1990 — Page 142

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8.

On their

definition,

companies controlled by the

are defined as "British".

approach are:-

the

Hongkong

Bank and

Kadoorie family, for example,

The objection to such a broad

(a) Such

a

definition

can

be criticised as an

argument of convenience.

the abolition of UK

For example, until

exchange

controls in

now being

1979, companies which are

classified, under this definition, as "UK"

would have resisted this label in order to

avoid liability to exchange controls.

Similarly, HMG rejected the Hongkong Bank's

claims to a "British" status when it sought

to take over the Royal Bank of Scotland;

(b) In

a business community as competitive as

Hong Kong, profit considerations are likely

Company directors and

executives are bound to

to

prevail.

promote

the best

interests of their shareholders rather than

serving any "national interest".

9.

The exercises undertaken by

campaign

primarily

and

to

private business firms

demonstrate that the

of much

greater economic value to the UK than has been recognised.

the Honour Hong Kong

have been intended

territory is

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