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CONFIDENTIAL GPS300 HASH ' . • • CYPHER CAT A FM FCO 171800Z , COMF1 DENT IAL TO FLASH'KAMPALA TELNO 72 OF 17 APRIL. COMPENSATION • 1. WE HAVE SEEN THE TEXT OF A KAMPALA RADIO BROADCAST QUOTING SOURCES CLOSE TO THE COMMAND POST QUOTING GENERAL AMIN AS SAYING THAT QUOTE THE OFFICES WHICH HAVE BEEN DEALING WITH COMPENSATION OF THE ABANDONED PROPERTY OF THE BRITISH NATIONALS WHO WERE EXPELLED FROM UGANDA HAVE BEEN CLOSED AND THE SUBJECT FORGOTTEN UNQUOTE", AS A RESULT OF THE PRIME MINISTER'S QUOTE REJECTION OF PRESIDENT AMIN'S INVITATION TO GO TO UGANDA AMD NEGOTIATE . COMPENSATION DIRECTLY WITH THE GENERAL UNQUOTE. .THE COMPENSATION MONEY WILL BE DIVERTED TO DEVELOPMENTAL PLANS. THOSE AFFECTED QUOTE SHOULD NEVER APPROACH UGANDA BUT THEIR PRIME MINISTER WHO WILL PAY THEM UNQUOTE. UGANDANS TRYING TODISCUSS COMPENSATION QUOTE SECRETLY UNQUOTE WOULD FACE A SPECIAL MILITARY COURT. AMIH ' IS QUOTED AS SAYING THAT THE PRIME MINISTER IS QUOTE ASHAMED TO FACE PRESIDENT AMIN UNQUOTE. THE BROADCAST CONCLUDES WITH UNFLATTERING (TO US) COMPARISONS BETWEEN UK AND THE USA. 2. WE ASSUME THAT AMIN HAD NOT, REPEAT NOT, SEEN THE PRIME MINISTER'S MESSAGE, AND IS ACTING PURELY ON THE BASIS OF REUTERS REPORTS (WHICH QUOTED NO GOVERNMENT SOURCES). 3/ FOR YOUR OWN INFORMATION OUR FIRST REACTION IS THAT IF THIS REPORT IS CONFIRMED AS OFFICIAL UGANDAN POLICY WE SHALL HAVE TO RESORT TO THE INTERNATIONAL COURT OF JUSTICE. /4. PLEASE CONFIDENTIAL