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and maintenance, and of the native parts of the crews, for the period up to 21ɛt August 1925, should still fall on

the Colony of hong Kong.

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As mentioned above, the cost of maintaining these launches has been borne entirely by the Navy from 21st August 1925; but as soon as trade is resumed these arrangements will have to be reconsidered. If the launches are still maintained, the hong Long Goverument, should, in Their Lordships' view, bear the cost of hire and maintenance and of the native parts of the crewɛ as before, and should also bear a proportion of the cost of

the British Officers and crews,

6.

1 am to mention that the Commander-in-Chief, Chẳng

has reported that the four launches originally taken up have been returned to their owners, and three launches have been taken up in their place and given the names *FAULKNER", "GM&LAUGHT", and "NESBUu”.

7. I am to transmit, for the information of the Secretary of State, a copy of a letter which has been sent to the Treasury regarding the taking up of the two vereals "TONG ON and “TƯNG KHÔNG

1 am, etc..

(sd) 0.Murray.

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