TNAG-2308-FCO40-3345-Future-of-Hong-Kong-shipping-register-1991 — Page 53

HKC175/1

CONFIDENTIAL

FM HONG KONG

TO PRIORITY FCO

TELNO 2223

OF 120748Z JULY 91

(26)

CONFIDENTIAL

My

faighty.

Draft letter to

отр

31

063615

MDLIAN 5674

DTP sent to miss Brocks

for comment

Back to the drawing

Gourd. Mr Scutt will have received

this.

AM 124/7.

YRTELNO 1175: HONG KONG SHIPPING REGISTER

TOP COPY

Q DIST?

p.a.

1. WE HAVE CONSIDERED DTP'S VIEWS ON WHETHER HONG KONG REGISTERED

SHIPS BREACH THEIR FLAGGING OBLIGATIONS UNDER THE MERCHANT

SHIPPING ACT 1894 WHEN OUTSIDE HONG KONG.

2. WE AGREE THAT THE RED ENSIGN STILL FLIES BUT CONSIDER IT TO BE MODIFIED BY THE BLUE ENSIGN WITH HONG KONG AMORIAL BEARINGS. WE BELIEVE THAT OUTSIDE HONG KONG THIS ARRANGEMENT CONTRAVENES SECTION 73 OF THE 1894 ACT WHICH DECLARES THE RED ENSIGN WITHOUT ANY DEFACEMENT OR MODIFICATION TO BE THE PROPER NATIONAL COLOURS

FOR ALL BRITISH SHIPS.

3. WE ARE NOT ATTRACTED TO DTP'S SUGGESTION THAT A CONCERNED MASTER OF A HONG KONG REGISTERED SHIP COULD HAUL DOWN THE BLUE ENSIGN WITH HONG KONG AMORIAL BEARINGS WHEN IN PORTS OTHER THAN HONG KONG. THE TWO FLAGS ARRANGEMENT DISTINGUISHES OUR NEW

SHIPPING REGISTER FROM THE PREVIOUS ONE AND WE WANT IT TO BE SEEN. IN ANY CASE, IF A HONG KONG MASTER WERE TO LOWER THE DEFACED BLUE ENSIGN, WHETHER IN PORT OR ON THE HIGH SEAS, HE WOULD BREACH THE FLAGGING REQUIREMENTS OF SECTION 37 OF THE MERCHANT SHIPPING (REGISTRATION) ORDINANCE 1990. HE MIGHT ALSO BREACH SECTION 69 OF THE 1894 ACT BY USING THE RED ENSIGN FLYING

ALONE TO MAKE HIS SHIP APPEAR TO BE A BRITISH SHIP FOR OTHER THAN

THE PURPOSE PERMITTED BY SECTION 69.

4. THE POINT THAT HONG KONG IS NOT A NATION APPEARS TO BE IRRELEVANT TO THE PROBLEM AT HAND. IN SHIPPING TERMS, FLAGGING ARRANGEMENTS ARE NOT FOCUSED ON THE NATIONALITY OF A TERRITORY

BUT ON THE NATIONALITY OF A SHIP. THIS FOCUS IS EVIDENT IN

SECTION 73 OF THE 1894 ACT AND ITS ASSOCIATED PROVISIONS.

5. TURNING TO PARA 3 OF YOUR TUR, IT SEEMS TO US THAT THE TWO POINTS MADE BY DTP DO NOT PRESENT ANY REAL IMPEDIMENTS TO THE USE OF SECTION 78 OF THE MERCHANT SHIPPING ACT 1906. ON THE FIRST POINT, WE SEE NOTHING IN SECTION 78 TO PREVENT THE SECRETARY OF STATE FROM EXERCISING HIS DISPENSING POWER IN RESPECT OF A SERIES

1

PAGE CONFIDENTIAL