The proposal to include Stores (paid for as an asset seems fair & not issued as part of the proposals as to accounting discussed on #King for Stives 16345/92 see para. 55 of Enc. 2 in 16345, to which the C.A.A.G. specially objected in 23550/92 in ? Loueur in views expressed this letter which appear to be quote entirely in harmony with par. 23 of the Colonial Audit Regs, 189.
I send copy now to A.O. letter (without enclosures) & to C.P.L. 27/4 with ref. to desp. 66 of 19th April d. 7. Eng. 27/4 C.P.L. 27 Wh27.4 above Ru 24/4 & This despatch forwards the view Col. And Reg. 180 * + No. 446.
For any further correspondence on this subject, the above number should be quoted, and the communication should be addressed to "The Comptroller and Auditor General,”
Sir, 295 EXCHEQUER AND AUDIT DEPARTMENT, SOMERSET HOUSE, LONDON, W.C. 26 April C.O. 6889 REC?
I am directed by the Comptroller and Auditor General to transmit to you for the information of the Secretary of State a copy of a letter dated 21st March, 1893, received from Mr. Nicolle, the Local Auditor at Hongkong, forwarding extracts from correspondence with the Colonial Secretary of that Colony with reference to the Statement of Assets and Liabilities for 1891.
Two questions of some importance are raised by the Colonial Secretary, who contends that the Statement of Assets should include:-
1. "The selling value of coins ordered and paid for but not already in transit".
2. "The value of Stores paid for and not issued",
As any decision on these two points must, of necessity, affect the method of dealing with the Statements of Assets and Liabilities of other Colonies, the Comptroller and Auditor-General considers it desirable, before replying to Mr. Nicolle, to submit his views to the Secretary of State.
Dealing first with the question of Stores, Sir Charles Ryan has no hesitation in saying that the value of Stores purchased, whether such Stores have been issued or not, should be excluded from any statement of Cash Assets and Liabilities which is not intended to exhibit the position of a Colony
Hon: R.H. Meade, C.B.