Wednesday August 8, 9:08 PM

HONG KONG (Reuters) - The United States has applauded China for allowing a high degree of autonomy in Hong Kong in general, but expressed concern over the exceptions including the local government's rhetoric against the Falun Gong movement.

The U.S. administration made the remarks in a report on Hong Kong covering the period from April 1, 2000 to July 31 this year. The document was presented to the U.S. Congress on Tuesday, and was made available to local media on Wednesday.

Beijing has promised a high degree of autonomy to the former British colony, which reverted to China in 1997. The U.S. administration has been drafting annual reports on Hong Kong since 1998 to monitor its situation under Chinese rule.

"The Government of the People's Republic of China has generally kept its commitments to respect Hong Kong's high degree of autonomy," the report said.

"Nonetheless, there were some issues warranting attention, especially the Hong Kong Government's strong rhetoric toward and possible action against the spiritual group Falun Gong," it said.

ATTENTION-WARRANTING ISSUES

While the Falun Gong spiritual movement has been outlawed in mainland China, it is still legal in Hong Kong.

But the territory's Beijing-anointed leader, Tung Chee-hwa, has branded the group an "[Jiang Zemin government's slanderous term omitted]". The local government has said it is studying anti-cult legislation although it is not presently planning to enact such legislation.

"Such legislation could endanger freedom of belief, conscience and expression in Hong Kong," the report said.

It noted that during Chinese President Jiang Zemin's visit to Hong Kong in May, the Hong Kong government denied entry to about 100 overseas Falun Gong members who had planned to join protests against the mainland's suppression of practitioners.

"While Hong Kong residents enjoyed generally unfettered rights of expression and association, the same rights were not guaranteed to outsiders," the report observed.

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