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063615 MDLIAN 574,
OF INDIVIDUAL SHIPS, E.G. BY NAMING ALL SHIPS CURRENTLY ON OUR REGISTER. HE WOULD BE RECTIFYING THE POSITION BY A METHOD EXPRESSLY PROVIDED IN THE MERCHANT SHIPPING ACTS. THE REQUIRED ANNUAL REPORT TO PARLIAMENT WOULD SERVE AS EVIDENCE THAT HONG KONG REGISTERED SHIPS WERE BEHAVING ENTIRELY PROPERLY UNDER THE ACTS. WE FEEL EASIER ABOUT PUBLIC SCRUTINY OF SUCH A REPORT THAN PUBLIC DEBATE ON AN AMENDMENT TO EXCLUDE HONG KONG FROM THE APPLICATION OF SECTION 73 OF THE 1894 ACT (PARA 4 OF OUR TELNO 1010) IT WOULD HELP IF THE 1991 REPORT HAS YET TO BE SUBMITTED AND THERE IS TIME TO INCLUDE HONG KONG SHIPS IN IT.
6. AS REGARDS THE SECOND POINT, SECTION 73(3) OF THE 1894 ACT ENABLES ANY COMMISSIONED BRITISH MILITARY OR NAVAL OFFICER OR ANY BRITISH CONSULAR OFFICER TO ACT ANYWHERE IN THE WORLD (EXCEPT HONG KONG BECAUSE OF THE 199 ORDINANCE) TO PROTECT THE INTEGRITY OF THE PROPER COLOURS OF BRITISH SHIPS. SECTION 73 HAS EXTRATERRITORIAL REACH. IN OUR VIEW, THE UK LAW REPRESENTED BY THAT SECTION THEREFORE APPLIES ACCORDING TO ITS TERMS IN OTHER TERRITORIES AND A DISPENSATION BY THE SECRETARY OF STATE UNDER SECTION 78 OF THE 1906 ACT WILL, WE THINK, BE AS EFFECTIVE FOR SUCH TERRITORIES AS IT WILL BE FOR THE UK AND THE HIGH SEAS.
7. ACCORDINGLY, WE SHOULD BE GRATEFUL IF YOU WOULD CONTINUE TO EXAMINE THE OPTION OF USING SECTION 78 OF THE 1906 ACT. IT STILL APPEARS TO US TO BE A SUITABLE ADMINISTRATIVE SOLUTION TO THE TWO FLAGS PROBLEM. WE NOTE FROM YRTELNO 977 THAT YOU ARE ALSO CONSIDERING THE OPTION OF ISSUE OF A WARRANT UNDER SECTION 73 OF
THE 1894 ACT.
8. AN INTERIM OPTION WE WOULD LIKE YOU TO CONSIDER IS FOR THE UK TO GIVE AN ASSURANCE THAT, IN THE CIRCUMSTANCES, IT WILL REFRAIN FROM ENFORCING SECTION 73 OF THE 1894 ACT AGAINST HONG KONG SHIPS WHICH LEGITIMATELY FLY THE PROPER COLOURS OF THE HONG KONG REGISTER FURTHER TO THE 1990 ORDINANCE. THOUGH NOT A SATISFACTORY FORMAL SOLUTION, WE WOULD AT LEAST THEN HAVE CONFIDENCE THAT HONG KONG SHIPS MAY SAIL OUTSIDE HONG KONG WITHOUT THE THREAT OF POSSIBLY BEING BOARDED BY BRITISH OFFICERS PURPORTING TO ENFORCE
SECTION 73 OF THE 1894 ACT.
WILSON
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