CONFIDENTIAL
1.
I was very disturbed to see from the draft telegram submitted herewith that the suggestion has been included that HMG will only meet the cost of equipment within the £400,000 which industry who are being consulted, are themselves unwilling to contribute. This seems to me not only to be contrary to the Secretary of State's decision on the submission of 5 February by Mr. Wood, but also bids fair to destroy the whole purpose of our gesture. For the Governor to go to his unofficials and say that HMG
will be generous only to the extent that they cannot raise the
money from industry would, in my view, do us no good at all.
2. The suggestion contained in paragraph 8 of Mr. Wood's submission, although side-lined by the Secretary of State, does not seem to have received his approval. I could not at first under- stand therefore why it had ever been included in the draft telegram. I understand, however, that Mr. King has been in touch with you and that what he said has been the basis of our change of position. I greatly hope that you will not accept the ODA position and that the matter may go forward on the lines approved by the
Secretary of State.
·
Kum hiffo
K M Wilford
15 February 1971
see further
mite over.
Copy to:
do not share Mr Welfare's apprehensione.
Mr. Logan The main Thing is that we have got $400.000 from Britain. Mr King explained to me that ODA as a
like to have industry
would but welame a news
assorted with there
precedent.
grants
but and
pothay
I agree to the prouded as the draft makes clear ther ODA were in for the rate if they could not get funds from induration for part of the sum.
it was split 50/50
CONFIDENTIAL
(I gather in an Indian can
Ловичили 1072/71