TNAG-2658-FCO40-3854-Future-of-Hong-Kong-British-Consulate-General-1992 — Page 10

CONFIDENTIAL

HKD 406

105425

MDHOAN 0152

33

CONFIDENTIAL

FM FCO

TO IMMEDIATE BTC HONG KONG

TELNO 43

OF 211635Z FEBRUARY 92

TOP COPY @DIST?

INFO PRIORITY UKREP JLG HONG

YOUR FAX JARVIS/MORRIS OF 14 FEBRUARY: FUTURE BRITISH CONSULATE-GENERAL: PROPOSED PRIVATE TREATY GRANT

1.

ijes/z

LEGAL ADVISERS THINK THAT HONG KONG GOVERNMENT'S PROBLEM

WITH SMITH-LAITTON'S LETTER OF 13 FEBRUARY TO MR NG IS THAT THE FIRST PARAGRAPH DOES NOT SAY THAT HMG IS ACCEPTING THE TERMS IN MR NG'S LETTER. WE SUGGEST A FRESH LETTER IS SENT WHICH CLEARLY STATES THAT HMG ACCEPT THE TERMS SET OUT IN MR NG'S LETTER. IT COULD THEN GO ON TO SAY SIMPLY THAT ''HMG NOTE THE STATEMENT IN THE PENULTIMATE PARAGRAPH OF MR NG'S LETTER, THAT IT IS NOT INTENTION OF THE HONG KONG GOVERNMENT TO CREATE ANY LEGAL OBLIGATIONS FOR THE BRITISH TRADE COMMISSION, OR FOR THE BRITISH GOVERNMENT, UNLESS OR UNTIL THE LEGAL DOCUMENTS NECESSARY TO GIVE LEGAL EFFECT TO THE PROPOSED TREATY GRANT ARE EXECUTED AND

REGISTERED.''

2. YOU WILL SEE FROM OUR SEPARATE TELEGRAM IN THE PERSONAL SERIES TO THE GOVERNOR, THAT WE ARE PREPARED TO ACCEPT THE HONG KONG GOVERNMENT'S PROPOSAL FOR A GENERAL PROVISION IN THE

LEASE (PLEASE TRY TO ENSURE THAT IT ALSO GOES INTO THE PTG) THAT THE HONG KONG GOVERNMENT WILL AT ALL TIMES ACT IN CONFORMITY WITH ANY INTERNATIONAL OBLIGATIONS. WE HAVE ALSO PUT DOWN MARKERS ON THE KENNEDY ROAD LINK AND THE REMAINING PROBLEM WITH THE UNREASONABLE RESTRICTIONS ON ALLOCATION OF SPACE.

HURD

YYYY

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