SECRET & PERSONAL

Jeaffreson's letter of 5 February 1971 (to me).

ter of

تولید

have reached an impasse with the Ministry of Defence

over this item and they are pressing us for

reimbursement of the amou

each

moueriew

the arguments on

either side in this case are, in our view, more.

precify

evenly balanced (eg we might be able to make out a

good case for Hong Kong on the grounds that this

expenditure on military border posts arose from

the external threat posed by the possibility of

incursions by militant Red Guards) although in all

honesty we do feel that to draw a distinction

between "Highland Bonnet" and "Spring Clean" rather

savours of hair-splitting. In any event, if you

do not regard the item as a legitimate charge to

the Hong Kong Government we shall have to include

it in our discussions with the Treasury and it will

not have an easy passage.

8.

Additional Allowances for Hong Kong Other Ranks.

The third item is microscopic in size and concerns

an amount of £118 which was spent by the military

authorities on additional allowances for certain

Hong Kong other ranks to cover the extra cost of

food etc. when the personnel in question were

detained at their place of duty overnight during the

disturbances. We understand that an application for

the necessary funds to meet this claim was put to the

Hong Kong Finance Committee who disallowed it on

the grounds that the expenditure was not considered

to be a fair charge to public funds (see Jeaffreson's

letter to Gaminara of 12 November 1971). Originally

the local military authorities in Hong Kong decided

to withdraw this claim on "de minimis" grounds since

/it

4.

SECRET & PERSONAL

H

G

NOTHING TO BE written IN THIS MARGIN

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