(885363) Dd. 896639

1,000м 8/71 St.S.

NOTHING TO BE Written IN THIS MARGIN

Registry

No.

HKK 10/9

DRAFT

SECURITY CLASSIFICATION

Top Secret.

Secret.

Confidential.

SECRET

To:-

CP Haddon/Cave Esq Financial/Secretary

HONG KONG

Type 1 +

From KM Wilford

RRK

Telephone No. & Eft.

23.

Restricted.

Unclassified.

PRIVACY MARKING

..In Confidence

Flag B

Blind Copy:

M Scholar Esq

TREASURY

O D Morgan Esq

MOD

Finance Dept

Defence Dept

Flag C

1.

Department

The Snake Jance and Border Winks.

I am sorry to have to bother you with a problem

in connection with the payment for the extra services

provided by HM Forces during the 1967 disturbances.

We have exchanged letters with Jeaffreson about

this, resting (except for correspondence clarifying

a minor point) with his letter SCR 26/64 II dated

12 November 1971.

2.

As we understand the position, some reimbursement

has been made by the Hong Kong Government to the

Services but there remain two outstanding items,

totalling £194,031, on which it has not been

possible to reach agreement.

THE SNAKE FENCE

3. The larger of the two is the border (Snake)

fence for which the military authorities are claiming

reimbursement of £173,340. This is for the cost of

the materials supplied for the construction of the

fence (including the cost of transport from Singapore).

4. We have it on record here that when John

Cowperthwaite called at the Office in September 1968

he told Bunny Carter that, with the exception of

minor items, he thought that Hong Kong could accept all the charges raised by the military authorities,

including the charge for the fence (See Carter's

letter to Cowperthwaite of 26 March 1969.) But in

/your

Page

SECRET

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