2. Discussion of the above question by the contributors to the Fund, Lord Elgin proposes to inform the Hongkong Government that he is not prepared to consider the adoption of an insurance scheme nor allow the investment of the Fund in local securities; that he considers that no adequate reason has been advanced against the taking over of the Fund; but that, as some of the members appear to be under a misapprehension as to the position of the Fund when the valuation has been made, the contributors will probably be in a better position to understand the results of the taking over of the Fund.
GUY is to state that Lord Elgin will be glad to learn whether you will be good enough to undertake this valuation on the basis of the Ordinance and the Tables when it is desirable, steps should be taken for sending home data for the valuation of the fund as on 31st December 1907.
For the purposes for which the valuation is required, it appears to be necessary that it should be a double valuation showing (a) the valuation on the basis of existing Ordinances and Pension Tables at present in force, and (b) the valuation on the basis of the draft Ordinance and tables attached thereto, which are identical with the new Ceylon Ordinance No 14 of 1906. Accordingly, you are requested to be so good as to furnish a memorandum containing a clear statement of how the necessary data should be given.