RESTRICTED
4.
The problem about "perception" is that it may be neither objective nor a subjective judgment on a defensible qualification. It does not necessarily imply more than that a particular person assumes that other persons have a particular view of the affiliation of an undertaking whether or not that view is supported on any objective or defensible basis. Similar criticisms may be made of advising Mr Heap that Ministers would have expectations with regard to certain undertakings unless Ministers, or those who advise them, are prepared to identify the basis of their expectations on grounds similar to those set out in paragraph 2 above. I would certainly think it difficult to include as a British undertaking, undertakings which run franchises merely on the ground that they are "perceived" to be British, but this would not necessarily exclude the adoption of a further category in the list composed of a number of elements one of which was the exploitation of British goods or know-how.
5. On a point of detail, I would have thought that the Committee's unwillingness to accept MTR or KCR as a British undertaking is perfectly defensible. Both are Hong Kong statutory corporations and, even if they fall within the terms of Item D(i), they do not satisfy Item (ii) and it is difficult to imagine, however great their import of English goods, that such import forms a significant part of their objective in Hong Kong which, in both cases, is to run local transport operations.
3 January 1991
Paul Fifoot Legal Advisers
6PFABZ
RESTRICTED
No comments yet.
Private notes are available after approval.