TNAG-2781-FCO40-4000-Future-of-Hong-Kong-constitutional-development-Chinese-reac-1993 — Page 111

.8.93

14.8.93

14.8.93

and

24.8.93

Tse Ying in Wen Wei Po

Lan Ching in Ta Kung Pao and Koo Ming-yan in HK Commercial Daily

Tsui Tong in HK Commercial Daily

14.8.93

Zhang Junsheng

15.8.93

Nam Ngan and

Ping Yuen in Wen Wei Po

16.8.93

Lam Ling in Wen Wei Po

17.8.93

Ng Hong-man in HK Commercial Daily

18.8.93

Man Fung in Wen Wei Po

18.8.93

Law Wai in Wen Wei Po

19.8.93

Chinese sources quoted by Ming Pao

CONFIDENTIAL

11

The definition of "permanent residents" by the Immigration Department is not in accordance with the JD and the BL.

The policy is neither open nor fair.

Sir David Ford has indicated that the real motive of the policy is to extend British rule in HK beyond 1997 by keeping British in key Government posts.

The HK Government has not formally informed the Chinese side of the new policy and has not made any clarification of this so far.

The new policy will affect the implementation of the "HK people running HK" concept.

The "human rights card" played by the British-HK authorities to protect the interests of expatriate civil servants and to provide grounds for implementing the new policy would only widen conflicts within the civil service.

Expatriate civil servants should not enjoy privileges but due concern should be shown to them. The BL does not discriminate against expatriates. The new policy should be shelved pending consultation with China.

The HK Government is using the BOR, which violates the JD and the BL, as an excuse to implement the new policy. It aims to extend British rule beyond 1997. But it is the locals who have the right to help realise the "HK people running HK" concept.

The new policy destroys localisation, adversely affects the stable transition of the civil service and poses a hidden danger for the SAR Government.

The new policy needs to be discussed by the JLG because it adversely affects HK's smooth transition and will have repercussions beyond 1997. China has been reacting mildly because it is still studying the policy.

CONFIDENTIAL