In the reply to this Letter the following
Number should be quoted.
11540
90
14338 144460
TREASURY CHAMBERS,
299
0.
15199
August
1890
;
Rece
REG 5 AUG 90
13
45
I have laid before the Lords Commissioners of
Her Majesty's Treasury your letters of the 25 and 26th
ultimo, and inclosures thereto, relating further to the
matters pending between the Hong Kong and Shanghai Bank
and Her Majesty's Government; and I have received Their
Lordships' directions to reply to those communications.
2. They agree with the Secretary of State for the
Colonies that the proposal now made by the Bank for com-
pleting the Reserve Fund for securing one third of the
Company's possible issue (viz $2,500,000) may be accepted.
3. The Fund will now consist of (1)
Securities to the amount of
Chinese Government
and (2) Indian Government 4 per cent rupees
notes or "enfaced paper" equal to the amount
1,409,808
of the other Securities, which the Bank pro-
posed to set aside and which this Board
rejected as inappropriate for the purpose Viz-1,225,000
2,
leaving a margin of
634,808. 134,808
over the stipulated amount of
2,500,000
The Under Secretary of State,
against
Colonial Office,