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4. In recommending the pensionable personal allowance it will be observed that Sir F. Lugard in his despatch put forward in two increments the same figures (viz. £70 + £50 = maximum pensionable personal emoluments £720) as I had applied for, and stipulated for the fulfilment of but the one condi- tion of three more years service from 1st January, 1912, without promotion, as the qualification for the payment of the second increment, and the same figures, with the same single condition, were repeated by the Secretary of State in the despatch conveying his approval,

5. The pensionable personal allowance having been thus made distinct and apart from the post, it only remained, before paying the second increment, to consider what, if any, promotion I had received during the stipulated 3-years' period. I submit that such was the one and only consideration which Sir F. Lugard/had in suggesting that I should formally apply for that payment as arranged after a lapse of three years: this is confirmed by his letter to me in England already put before the Oolonial Office,

6. (",") of Sir H, May's minute (vide para.1) compar- ing the emoluments of the respective posts of 1st Grade Engineer and Superintendent of Accounts, Correspondence & Stores is unintentionally misleading, for, after introducing and dealing with the subject of the "post", which is not concerned, it omits to mention that, whereas there is sub- stantial promotion available in the Department for 1st Grade Executive Engineers, there is none for the Superintendent of Accounts, Correspondence & Stores,

7. Neither was mention made of the fact that in 0.0.D. No. 171/1902, para. No.10, the Secretary of State in 1902 fixed the maximum salary of both posts at the same figure, viz. £600 per annum, Subsequently, the pensionable maximum of the post of 1st Grade Executive Engineer was increased by £30 per annum and the further addition of a non-pensionable Duty Pay of £60 per annum, or a total increase of £90 per annum whilst on service. In addition to the post of Director of Public Works (to which five Executive Engineers of this Department have been promoted in Hongkong and elsewhere during my period of service), there are now two other posts provided for these officers to follow on to as 1st and 2nd Engineering Assistants respectively of the Director of Public Works, viz.

These 1st and 2nd "Assistant Directors of Public Works".

In

Posts are filled by the two chief Executive Engineers, 0.0.D. 171/02, only 1 Assistant was provided, with a pension- able maximum salary of £720 per annum, but with no Duty Pay. There are now two such posts with maximum pensionable salaries of £780 and £750 respectively, and an additional non-pension- able Duty Pay of £75 each, making total increases whilst on service of £135 and £225 respectively, to the two ohlof engineering posts under the Director of Public Works since 1902: such opportunities for promotion within the Department, to Executive Engineers, are entirely absent in the case of the Superintendent of Accounts, Correspondence & Stores,

8. The last-mentioned post has been given no increase of salary whatever since 1902, and judged on the circumstances obtaining in 1911 Hongkong despatch No. 59 of 1911, and 0.0. q despatch No. 91/1911 distinctly stated that no increase could then be made to the salary of the post: my application was accordingly confined to a pensionable personal allowance a fact which was obviously overlooked by Sir H. Hay,

9. What I regard more seriously than anything else he the mistaken view which Sir H. May appears to have held on the status of the post during my continued occupanov of it. At (b) of his minute he again ifitrofuoss and refers to the "post", mentioning it also as the highest paid in the

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