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(c) Sir Michael Quinlan said that he understood
our problem with Finance Committee. He thought that anything we could to do to help MOD's cash flow would be useful: for example, if arrangements could be made whereby the contributions were unchanged overall, but MOD were paid at an earlier stage so that they obtained a practical financial benefit. The Governor said that an arrangement of this type, that satisfied MOD Ministers and meant that we did not have to go to Finance Committee would be acceptable to him;
(d)
2.
Sir Michael Quinlan said that he would discuss the matter with Mr. Brack on his return to Hong Kong and then with the Minister of State. He recognised the problem of reopening the issue of the DCA. It was possible that some solution might be found on the lines they had discussed. The Governor said that he would be greatly relieved if this was the case.
The Governor has written to Sir Michael Quinlan to take him up on his offer.
A copy of his letter is attached.
CC:
CS
FS
Лик
(R.J.F. Hoare )
PS/GH 10.12.90.
SECRET
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