TNAG-2780-FCO40-3999-Future-of-Hong-Kong-constitutional-development-Chinese-reac-1993 — Page 109

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HICC 01712 RECEIVED IN REGISTRY

7 JUN 1993

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FM HONG KONG

TO IMMEDIATE FCO

DESK OFF

REGISTRY

INDEX

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TELNO 909

OF 040805Z JUNE 1993

INFO PRIORITY PEKING, UKREP JLG HONG KONG

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MDHIAN 3501

CONSTITUTIONAL DEVELOPMENT: PRESS REPORTS

BEC BILL AND LEGCO PANEL DECISION

IN RESPONSE TO PRESS QUESTIONS YESTERDAY, THE ASSISTANT TO NCNA DIRECTOR LEE WAI TING SAID THAT THE PASSAGE OF THE BEC BILL AND LEGCO CONSTITUTIONAL PANEL'S DECISION TO HOLD REGULAR MEETINGS TO DISCUSS THE CONSTITUTIONAL PACKAGE WERE SIGNS OF INSINCERITY ON THE PART OF THE BRITISH SIDE. THESE WOULD POSE OBSTACLES TO THE CONSTITUTIONAL TALKS.

2. COMMENTING ON MR GOODLAD'S ALLEGED REMARKS THAT LEGCO COULD PROPOSE AMENDMENTS TO ANY MEMORANDUM OF UNDERSTANDING REACHED BETWEEN THE TWO SIDES, LEE SAID THAT THE MINISTER'S REMARKS WERE INAPPROPRIATE AND WOULD HAVE A NEGATIVE IMPACT ON THE TALKS. HE ADDED THAT WHETHER THE AGREEMENT REACHED BETWEEN THE TWO SIDES WOULD BE ACCEPTABLE TO LEGCO WAS THE BRITISH SIDE'S PROBLEM.

3. ACCORDING TO TODAY'S HK ECONOMIC JOURNAL, SOURCES CLOSE TO THE CHINESE SIDE HAD REVEALED THAT THE CHINESE WERE MOST UNHAPPY WITH THE SERIES OF QUOTE PETTY TRICKS UNQUOTE RECENTLY ORCHESTRATED BY THE BRITISH SIDE TO CHALLENGE AND TEST THE CHINESE SIDE. THESE WOULD NO DOUBT AFFECT THE CONSTITUTIONAL TALKS. ALTHOUGH THE BRITISH SIDE CLAIMED THAT THE BEC BILL ONLY CONCERNED TECHNICAL MATTERS, THE CHINESE SIDE CONSIDERED THAT THE BILL INCLUDED SOME CONTROVERSIAL ELEMENTS OF THE GOVERNOR'S CONSTITUTIONAL PROPOSALS: PARTICULARLY SECTION 21(3)(B), WHICH WOULD GIVE EFFECT

TO THE SINGLE SEAT-SINGLE VOTE PROPOSAL. THE PASSAGE OF THE BEC

BILL WAS THEREFORE A FALSE START ON THE GOVERNOR'S PACKAGE.

4. THE SOURCES ALSO SAID THE CHINESE SIDE DID NOT RULE OUT THE POSSIBILITY THAT THE RECENT DECISION OF THE LEGCO CONSTITUTIONAL DEVELOPMENT PANEL WAS INSTIGATED BY THE GOVERNOR, GIVEN THEIR PERCEPTION OF A CLOSE CONNECTION BETWEEN THE GOVERNOR AND THE UDHK.

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