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receiving these additional emoluments was taken into con- sideration, Mr: Phelips cannot equitably be called upon to bear this loss and I am therefore to suggest that in return for the additional work and responsibility that will devolve upon him in connection with the local audit of the expen- diture accounts Mr: Phelips may be placed on a scale, per- sonal to himself, rising from £810 by annual increments of £20 to £900 a year, it being understood that the salary would be revised on the occurrence of a vacancy in the post, and that the audit of the Accounts of Wei Hai Wei continue to be carried out by Mr: Phelips on the exist-
ing remuneration.
5. With reference to the cost of the home supervision of the audit of the Hong Kong accounts consequent upon the introduction ofthe proposed change, I am to state that, assuming that the expenditure of Hong Kong continues to bear the same proportion as at present of the total aggregate expenditure of all the Colonies whose accounts are examined in this Department, the amount payable would be about £465 as compared with £1050, the sum which has been estimated for supervision and the home examination of the expenditure
accounts in 1910.
I have the honour to be,
Sir,
Your obedient Servant,
G. 4. Vandezzea