TNAG-2236-FCO40-3215-Hong-Kong-and-China-subversion-and-student-demonstrations-1991 — Page 8

CONFIDENTIAL

FM HONG KONG

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HONG KONG BRANCH OF FEDERATION FOR DEMOCRACY IN CHINA.

1.

IN MAY 1990, NCNA APPROACHED US ABOUT A PRESS REPORT THAT THE PARIS-BASED FEDERATION FOR DEMOCRACY IN CHINA (FDC) INTENDED TO SET UP AN OFFICE IN HONG KONG. THEY SAID THAT THE HKG SHOULD NOT ALLOW SUCH AN OFFICE TO BE ESTABLISHED. WE NOTED THIS REPRESENTATION, SAID THAT WE HAD NO INTENTION TO ALLOW HONG KONG TO BECOME A BASE FOR SUBVERSION AGAINST THE PRC, AND POINTED OUT THAT NO APPROACH HAD BEEN MADE TO US TO ESTABLISH AND REGISTER AN FDC OFFICE. COUR TELNO 1428 OF 1990 REFERS)

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2. ON 19 SEPTEMBER THIS YEAR NCNA AGAIN APPROACHED US, THIS TIME ABOUT PRESS REPORTS THAT THE FDC HAD ACTUALLY ESTABLISHED AN

OFFICE. ACCORDING TO THESE REPORTS THOSE ORGANISING THE OFFICE INCLUDE YAO YONGZHAN, THE HONG KONG STUDENT JAILED FOR A YEAR IN SHANGHAI FOR PARTICIPATING IN THE JUNE 1989 EVENTS, AND LEUNG YIUMING, DESCRIBED AS A LOCAL REPRESENTATIVE OF THE NEW YORK- BASED CHINESE ALLIANCE FOR DEMOCRACY (CAD). NCNA ARGUED THAT IF WE ALLOWED THE ESTABLISHMENT OF ANY SUCH OFFICE IT WOULD CONTRAVENE OUR COMMITMENT OF MAY 1990 NOT TO ALLOW HONG KONG TO BECOME A SUBVERSIVE BASE. IF THE OFFICE HAD BEEN REGISTERED, THE REGISTRATION SHOULD BE REVOKED IMMEDIATELY. IN REPLY, WE SAID THAT WE WOULD LOOK INTO THESE REPORTS.

3. WE HAVE NOW CHECKED THE POSITION AND ESTABLISHED THAT THE FDC HAS NOT SOUGHT TO REGISTER IN HONG KONG UNDER EITHER THE COMPANIES OR SOCIETIES ORDINANCES, OR AS A BUSINESS FOR TAX PURPOSES UNDER THE BUSINESS REGISTRATION ORDINANCE. IF THE FDC SOUGHT TO REGISTER UNDER THE COMPANIES' OR BUSINESS REGISTRATION ORDINANCE, REGISTRATION COULD BE REFUSED ON THE GROUNDS THAT THE FDC WAS TRYING TO EVADE THE SOCIETIES' ORDINANCE. ANY APPLICATION TO REGISTER UNDER THE SOCIETIES' ORDINANCE COULD ALSO BE REFUSED, ON THE GROUNDS THAT AN FDC OFFICE IN HONG KONG WOULD BE A BRANCH OF AN OVERSEAS POLITICAL ORGANISATION (WHICH IS NOT ALLOWED UNDER THE ORDINANCE).

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