TNAG-2494-FCO40-3626-Future-of-Hong-Kong-constitutional-development-Chinese-reac-1992 — Page 107

UNCLASSIFIED

is

131002

MDLIAN 9507

UNCLASSIFIED

FM HONG KONG

TO PRIORITY FCO

TELNO 2819

HKC 01214

TOP COPY

Q DIST?

ла

OF 03081OZ DECEMBER 92

INFO PRIORITY PEKING, UKREP JLG HONG KONG chiudereantie.

OUR TEL 2810:

PRESS REPORTS.

1.

(107

'VETTING BODY' ON CONTRACTS STRADDLING 1997:

FURTHER TO THE EXPRESS ARTICLE YESTERDAY (TUR REFERS), A NUMBER OF PAPERS, INCLUDING THE LEFT-WING WEN WEI PO, CARRIED REMARKS TODAY (3 DECEMBER) BY PRO-CHINA FIGURES DENYING REPORTS ABOUT THE SETTING UP OF A 'VETTING BODY' ON CONTRACTS STRADDLING 1997. THE EXPRESS REPORTED THAT NCNA VICE DIRECTOR ZHANG JUNSHENG

HAD REFUSED TO COMMENT.

2.

WEN WEI PO QUOTED A HONG KONG AFFAIRS ADVISER AND CPPCC DELEGATE, XU XIMIN, AS SAYING THAT HE HAD CHECKED WITH THE

'RELEVANT PARTIES' AND LEARNED THAT THERE WAS NO QUESTION OF

FORMING A SECOND POWER CENTRE. REPORTS ABOUT ESTABLISHING A VETTING BODY NEXT SPRING WERE SHEER SPECULATION AND DID NOT REPRESENT THE VOICE OF THE CHINESE SIDE. XU ADDED THAT IN HIS VIEW, EVEN IF THE CONSTITUTIONAL PROPOSALS WERE APPROVED BY LEGCO NEXT FEBRUARY, THE CHINESE SIDE WOULD UNLIKELY GO AS FAR AS SEEKING AN EARLY TAKE-OVER AND ESTABLISHING A SECOND POWER CENTRE. CHINESE RESPONSE WOULD DEPEND ON HOW THINGS WOULD

DEVELOP.

3. ACCORDING TO PRESS REPORTS, BOTH T.S.LO AND LIU YIU-CHU DENIED THAT THEY HAD BEEN APPROACHED ON THE 'VETTING BODY', AND THEY WERE NOT AWARE THAT CHINA HAD DECIDED TO SET UP SUCH A BODY. LO COMMENTED THAT AS THE BASIC LAW HAD PROVIDED FOR THE ESTABLISHMENT OF THE SAR PREPARATORY COMMITTEE, HE DID NOT SEE THE LEGAL BASIS FOR SETTING UP OTHER COMMITTEES BEFORE THEN. HE SAID THAT THOSE WHO HAD DOUBTS ON THE POST-1997 VALIDITY OF THE CONTRACTS THEY HAD MADE WITH HKG SHOULD APPROACH THE NCNA FOR CLARIFICATION. ON THE OTHER HAND, LIU YIU-CHU SAID IT WAS INDEED NECESSARY IN THE CURRENT CLIMATE FOR THE CHINESE SIDE TO CONSIDER SETTING UP THEIR OWN INSTITUTIONS. SHE BELIEVED THIS WOULD BE

BENEFICIAL TO SMOOTH TRANSITION.

4.

LEGCO MEMBER TAM YIU-CHUNG (DAB) WAS REPORTED TO HAVE SAID

1

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