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was

ascertained that up to the year 1883, according to the Governors' returns on the Commissariat, &c., having embraced without distinction Colonial, Consular, and Diplomatic Services.

1 separate Abstracts had been kept of the amount of the Grant intended for the Departments respectively.

(Signed) Mo. Lefleurier

Auditor General's Office,

Victoria, Hongkong, January 18th 1889

I had the honor to receive your letter of 8th instant, date and have since had under examination your revised Statement of balances in hand on the 31st of December 1887 available for the services of the year.

Which I have compared with the statement rendered by the Commissioners of Audit in their letter to Sir Charles Trevelyan of 18th September 1888.

2. From the total (£6328-6-9) returned by you, there should be deducted £183-16-11 on account of Income Tax and Superannuation Contributions paid into the Treasury by the Superintendent of Trade and held there on deposit to the credit of the proper departments, this being a balance of £6144-10-10, with this exception the statement appears to be correct.

3. The difference between the return of the Audit Commissioners and that made out by yourself seems to have been occasioned by some misunderstanding at the end of the year 1887 as to the Funds which were specifically devoted to the reconstruction of the Markets - the final decision of His Excellency the Governor conveyed to you in the Colonial Secretary's letter No. 122 of 10th March 1888 would however confirm your revised statement.

4. With respect to the latter portion...

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