:

9

4.

Dealing with the Memorandum of Transfer,

certain amendments are required therein in Naval interests.

Under Clause 3 thereof the Colonial Govern-

ment reserve the right to resume possession of the whole or

any part of the green area at three months' notice on

payment of compensation for any buildings thereon. In

addition to this, it is considered that the Admiralty

should be refunded the whole or proportionate part of the premium now paid, viz. $11,772.

Clause 5 provides that the land is not to be

used for any other purpose than for a Hospital. So far as

the green area is concerned this is agreed to, but My Lords

are not prepared to accept such a restriction in respect of

the red area. A copy of the correspondence which took

place locally in regard to the transfer of this area is

enclosed herewith for your information. It will be seen

that the Admiralty stipulated that they should be allowed

to utilize such land as necessary and H.E.the Governor in

his letter of the 30th January 1904 did not raise any

objection to this.

5. The amendments required, referred to above,

would involve an alteration of Clauses 1, 3 & 5, of the

Memorandum of Transfer.

As however this has been signed such

amendments might be met by an endorsement on the Memorandum

or by letter agreeing to the same, and My Lords will be

glad to learn which course is proposed to be adopted.

Enclosures:

MEMO: of TRANSFER(in orig:)

D.W.2356/05.

Copy Hong Kong Govr's lre:

12.11.03 D.W.1875/04. Copy Commodore's 1re:

3.12.03 D.W.1875/04.

D.W.(Copy Commodore's 1re:26.1.04. 6434(Copy Col.Govt.lre:30.1.04.

04(Copy Commodore's 1re:9.3.04.

I am,

sir,

Your obedient Servant,

Even Macher hor

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