415

of thought which it may be worth while to pursue

further. It is, however, a matter which would

naturally be investigated by the Foreign Office through

H.B.M. Minister at Peking, and this Government can hardly

at this stage venture to reduce the general suggestion

to any more definite form.

16. The plan (enclosure No.2) supplies the detail

required to complete this despatch: and it will be seen

that the expenditure I suggest involves an estimated

total of $1,738,000. of this gum $738,000 1s the

estimated cost of completing the entire reclamation (a

work which would be undertaken by the Government at ita

own choice of time) and $1,000,000 it is estimated would

be sufficient to buy out the Kal Tak Company.

17.

I have, therefore, the honour to request

authority to negotiate with the Kal Tak Company for the

purchase of their rights over the 170 acres which appear

on the plan coloured buff at the estimated cost of

$1,000,000: and to finance this operation by the issue

in due course of Treasury Bonds.

18.

This despatch was considered in draft at a

meeting of the Hong-Kong General Defence Committee held

on the 17th February and the Committee unanimously

concurs in the despatch.

I have, etc.,

(Signed) C. CLEMENTI,

Governor &c.

X

Not reproduced.

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