Enclosure 8.

Captain Sterling A. D. C. to Hon: T. H. Whitehead.

Government House, Hong-Kong 5th August 1895.

149

Sir,

The Governor desires me to acknowledge the receipt of your letter of 2nd instant in reply to mine on 29th ultimo in respect to the constitution of the Retrenchment Committee.

2. Your letter contains several points on which you appear to His Excellency to be in error, but with a view to the avoidance of further delay in the settlement of the practical question whether or no the Retrenchment Committee appointed by him is to commence its enquiry, he refrains for the present from entering into any discussion of them.

3. His Excellency directs me to inform you that he is unable to adopt your suggestion that he should telegraph to the Secretary of State for permission to add Mr. Eue's name to those of the existing members. It is not for a moment likely that the Secretary of State would act on a telegram of such a nature without the fullest explanation as to why any difficulty has occurred in giving effect to his instructions. The Governor desires me therefore to ask you to be so good as to state finally whether or no, you will serve on a Committee consisting of the Chief Justice as Chairman, the Honourable C. P. Chater, yourself, and Mr. May. Such a Committee would be within the letter and spirit of the Secretary's instructions.

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