TNAG-2183-FCO40-3120-Hong-Kong-nationality-international-support-1990 — Page 142

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26 SEP 1990

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INFO TELELETTER HONG KONG

FROM : G J DOREY, BUDAPEST

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J C MORRIS ESQ, HONG KONG DEPARTMENT, FCO

: R A NOBLE ESQ, EED, FCO

: S BRADLEY ESQ, DEPUTY POLITICAL ADVISER, HONG KONG

HONG KONG: HUNGARIAN OFFER OF SETTLEMENT

1. THANK YOU FOR YOUR HELPFUL TELELETTER OF 6 SEPTEMBER

333

2. SINCE I WROTE, THERE HAVE BEEN TWO OTHER RELATED DEVELOPMENTS OF INTEREST. THERE HAVE BEEN PRESS REPORTS THAT A HONG KONG FIRM ''POSSARD INVESTMENTS AND CONSULTANTS,'' WAS READY TO LEASE THE INDUSTRIAL ISLAND OF CSEPEL NEAR BUDAPEST FOR 20 YEARS. THEY WERE SAID TO HAVE OFFERED 700 US DOLLARS PER SQUARE METER FOR A TOTAL

OF 8000 SQUARE KILOMETRES (COMMENT: ABOUT THE SIZE OF A HUNGARIAN COUNTY). THE PRIME MINISTER'S OFFICE QUESTIONED THIS PROPOSITION, WHICH WOULD IMPLY A PURCHASE PRICE OF 5.6 TRILLION US DOLLARS.

(COMMENT: ABOUT TWICE THE GROSS DEBT OF THE WORLD). AN INTERGOVERNMENTAL COMMITTEE ESTABLISHED IN JULY TO DISCUSS POSSIBLE RESETTLEMENT OF HONG KONG BUSINESSMEN IN HUNGARY HAD ALSO HELD TALKS WITH ''POSSARD'', BUT ACCORDING TO THE PRIME MINISTER'S OFFICE THEY COULD NOT PROVIDE THE NAME OF A BANK OR OTHER REFERENCES.

THE FIRM HAD ALSO REQUESTED HONORARY COUNSULAR STATUS AND THE RIGHT

TO ISSUE HUNGARIAN PASSPORTS.

3. ON 7 SEPTEMBER, GOVERNMENT SPOKESMAN LASZLO BALAZS WAS ALSO OBLI- GED TO DENY A ''TOTALLY GROUNDLESS ARTICLE IN THE DAILY MAI NAP. (WHICH THE LATTER ATTRIBUTED TO TAMAS FODOR MP - SEE PREVIOUS CORRESPONDANCE). CONTRARY TO ALLEGATIONS IN THE ARTICLE, THE POSSIBLE SETTLEMENT OF HONG KONG PEOPLE IN HUNGARY HAD NEVER COME UP IN TALKS BETWEEN PRIME MINISTER JOZSEF ANTALL AND FRG CHANCELLOR HELMUT KOHL OR OTHER FOREIGN STATESMEN. THE GOVERNMENT WOULD

ISSUE ANOTHER STATEMENT ONCE IT HAD ALL THE NECESSARY INFORMATION

AT ITS DISPOSAL.

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