TNAG-2651-FCO40-3844-Extradition-cases-from-the-UK-and-France-to-Hong-Kong-Lorrai-1992 — Page 33

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FROM: PF Ricketts

Hong Kong Department

DATE: 31 January 1992

cc: PS/Lord Caithness

PS/PUS

Sir J. Coles My Berns Mr Parker,

Asst Legal Adviser Mr Yaghmourian, SEAD

Security Department

Mr Berman, Legal Adviser

PUBLICATION OF CLASSIFIED FCO TELEGRAMS: THE CASE OF

MR LORRAIN OSMAN

1. Last year, Mr Kevin Cahill, a journalist, wrote to Sir Arthur Watts, alleging corrupt action by FCO officials handling papers relating to the request from the

Hong Kong authorities to extradite Lorrain Osman from the UK to Hong Kong to face fraud and other charges. In the process, he threatened to publish some confidential telegrams relating to the case, which had come into his possession. It was agreed to rule out legal proceedings, not least because they would be likely to produce messy and possibly damaging publicity for HMG, and instead to send him a reply which would (a) warn him to substantiate or back-off the allegations of corruption and (b) invite him to consider carefully the consequences of publishing classified material. This was designed to frighten him off without uttering threats which it might not be possible or expedient to carry out (with the Peter Wright case in mind).

2. Mr Cahill speedily retracted his allegations but has now

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