TNAG-2707-FCO40-3913-Hong-Kong-political-parties-Cooperative-Resources-Centre-(CR-1993 — Page 16

Note for File

CONFIDENTIAL

RECORD OF A CALL ON MR GOODLAD BY MR ALAN LEE AND COLLEAGUES

OF THE COOPERATIVE RESOURCES CENTRE (CRC), 19 JANUARY

Present

Mr Goodlad

Mr Dorey

Mr Ricketts

Mr Lee

Mr Arculli

Mr Cheong

Mrs Chow

Mr Ho

Mr Tang

Mr Young

Mr Clark

Mr Morris

1.

Mr Goodlad welcomed Mr Lee and colleagues from the CRC.

He welcomed this opportunity to have first-hand advice from the CRC. Mr Lee said the group had had a good meeting with the Prime Minister and the Secretary of State. He explained

that they had expressed their concerns about the deterioration in Sino/British relations and had offered proposals in their position paper. Hong Kong faced serious uncertainties if the impasse was not resolved. What the CRC feared most was that, if China felt discussion with the British side was impossible, they would set up separate machinery to "ensure a smooth transfer". Such action would split the Hong Kong community. Selina Chow suggested that in dealing with the Chinese not

only the substance of the debate but the mechanism was

important; the CRC feared that if the Governor's proposals

were put to LegCo unamended the Chinese might interpret this

as a signal that HMG and HKG were resolved to pursue their original proposals without compromise and without taking

account of China's views. Once tabled in legislative form HMG and the Governor would lose control of the process. This

record.lee.MORRIS

JEB

CONFIDENTIAL