TNAG-2182-FCO40-3119-Hong-Kong-nationality-international-support-1990 — Page 19

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4. AGAINST THIS BACKGROUND I CALLED ON ZOLTAN SUDY (RECENTLY

APPOINTED HEAD OF THE MFA FAR EAST DEPARTMENT) ON 12 SEPTEMBER AND DREW IN GENERAL TERMS TON THE MAIN ARGUMENTS IN YOUR TELELETTER.

5. SUDY SAID THAT HUNGARY'S OVERALL POLICY WAS TO ATTRACT FOREIGN INVESTMENT, INCLUDING FROM HONG KONG. IN CASE INDIVIDUAL INVESTORS WISHED TO SETTLE IN HUNGARY, THE RULES HAD BEEN ALTERED TO ALLOW THIS. BUT THE GOVERNMENT HAD NOT ENVISAGED THAT LARGE NUMBERS MIGHT BE INVOLVED, NOR THAT THERE WOULD BE MUCH PUBLICITY ABOUT THE

ISSUE: IT WAS FEARED THAT THIS MIGHT PROVOKE CHINA. ONLY ONE

HONG KONG RESIDENT HAD AS YET ENQUIRED ABOUT PERMANENT SETTLEMENT IN HUNGARY.

6. THE SETTLEMENT RULES WERE NOW AS FOLLOWS. ANY HONG KONG CITIZEN WISHING TO SETTLE MUST FIRST DEPOSIT 100,000 US DOLLARS IN A HUNGARIAN BANK (TO GUARANTEE HE COULD LOOK AFTER HIS FAMILY, START A HOME ETC). HE IS THEN ENTITLED TO HUNGARIAN TRAVEL DOCUMENTS (BUT NOT A HUNGARIAN CITIZEN'S PASSPORT). AFTER 3 YEARS SPENT

IN HUNGARY HE CAN APPLY FOR CITIZENSHIP AND PERMANENT SETTLEMENT, AT WHICH POINT HE MUST DEPOSIT OR INVEST A FURTHER 150,000 US DOLLARS. THIS ALSO COVERS CLOSE RELATIVES EG. WIFE AND CHILDREN.

7. AS A RESULT OF THE SETTLEMENT RULES, SAID SUDY, MANY PEOPLE WERE APPROACHING THE MFA, CLAIMING TO BE ABLE TO BRING HONG KONG PEOPLE HERE. SOME WANTED COMMISSIONS, SOME HOPED TO REGENERATE A LOCAL TOWN OR VILLAGE. SOME SCHEMES WERE TOTALLY BIZARRE, SUCH AS THE RENTING OF CSEPEL ISLAND. OTHERS, SUCH AS THE FODOR/BERTA IDEA FOR SZOLNOK WERE ALMOST CERTAINLY UNWORKABLE. FOR EXAMPLE, ACCOMMODATION WOULD FIRST HAVE TO BE BUILT IN SZOLNOK ON AN

ENORMOUS SCALE. AND ALTHOUGH HUNGARIANS WERE FRIENDLY TOWARDS INDIVIDUAL FOREIGNERS, THE ARRIVAL OF A LARGE AND WEALTHY GROUP IN AN AREA OF HIGH UNEMPLOYMENT WOULD CAUSE MAJOR SOCIAL PROBLEMS.

THE MFA WERE FIGHTING HARD TO MAKE CLEAR THAT THESE PROPOSALS WERE

FAR FROM REALITY.

8. SUDY CONCLUDED THAT THE GOVERNMENT WERE NOT IN FAVOUR OF MASS

TRADING IN PEOPLE. NOR DID THEY WANT TO SELL PASSPORTS. BUT IN

ANY CASE MOST HONG KONG CITIZENS WERE UNLIKELY TO WANT TO SETTLE

IN HUNGARY: THERE WERE MANY OTHER PLACES IN

THE WORLD WITH WHICH THEY WOULD HAVE MORE EMPATHY.

9. IN PARTING, SUDY COMMENTED THAT THE GOVERNMENT WAS STILL WORKING

ON CONCRETE PLANS FOR ESTABLISHMENT OF A TRADE OFFICE IN HONG KONG.

THE DETAILS WOULD BE READY IN A MONTH'S TIME AT THE OUTSIDE,

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