Colony arising from diminution of Military Contribution

(

would pro tanto diminish its claim to relief from Imperial

funds in respect of the loss of dues on the Opium Trade.

C

Treasury Proposal:

155

ix

a inco

Imperial Government to pay

Hong Kong

$42500

£3873

#

$24500 - £2227

Apparent detriment to Hong Kong on Treasury proposal:

less

$24500 $16750

$7750 say £700.

III.

A copy of the Post Office letter to the Treasury

of 2 April last was sent at the time to the Colonial Office..

In the absence of comment or protest it is assumed that the

Post Office proposal appeared to the Colonial Office to be

reasonable, and that their present objection is to the Treasury

M.O

1000" $

variation of it. The difference between the Treasury proposal

so far as the finances of

finances of the Colony are affected,

56

and the Post Office proposal is however more apparent than

real.

Estimate for 1910 on basis of actual expenditure (Subject

to eventual readjustment on basis of liability incurred

under the partly retrospective Statistics for Siberian

transit to be taken in November 1911).

Postal deficit for 1910 $42500

But the readjustment on the Siberian Statistics of

November 1911 will beyond question greatly increase the

Postal deficit. The present Agency payment for Siberian

Transit under the Statistics of May 1908 has been given by

Hong Kong as $47250. The increase under the Statistics

of November 1911 is of course conjectural but an estimated

increase of 66 2/3 % is not regarded as extravagant.

On

this basis the cost of Siberian Transit to be eventually

paid for 1910 will be:

Military Contribution

Total

$24500

$67000

Post Office Proposal:-

Imperial Government to pay 75 % of

Hong Kong

H

#

* 25 % of

$67000 - $50250 - £4576 - $16750 - £1525

Treasury

$47250

$31500

$75750

On this assumption the figures for 1910 on a basis of

liabilities incurred will be:

Postal

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