TNAG-2496-FCO40-3632-Relations-between-Hong-Kong-and-Macao-(Macau)-1992 — Page 193

Mr Wye RAD

HKCC C20/3

си

MACAO BASIC LAW: VALIDITY OF CONTRACTS

1.

Article 145 paragraph 3 of the draft Macao Basic Law states that "all contracts signed by the original Macao Government with effective terms straddling 19 December 1999 will continue to be valid except for those which the Chinese side of the Sino-Portuguese Liaison Group, or of the Sino-Portuguese Land Group openly declares to be inconsistent with this Law or with the arrangements for the transition record as stipulated in the Sino-Portuguese

Joint Declaration".

2. I should be grateful for any further light you or copy addresses can throw on this question. As you know, we have big problems on this subject with Hong Kong investors. We need to know what the Chinese line is with the Portuguese on this. Have there been any press comments?

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RAJ Bunten

Hong Kong Department

WH 305

270 2655

4 March 1992

cc: PUSD, CN

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