&

to the Hong Kong Government in good order and condition, should they cease to use it as the "Admiralty House" of

this Colony.

6.

The Crown Rent now payable in respect of Inland Lot 1568 and Garden Lot 4, which together constitute the premises known as "Marble Hall", is $970 and $4 per annum respectively. In the event of the recommendation in

the preceding paragraph being adopted, I would further propose that this Government should forego the Crown

Rentals. As regards rates, under section 39(2) of the

Rating Ordinance No.6 of 1901, Government premises, whether imperial or colonial, are exempt so long as they are not occupied in any way for gain or pecuniary profit: but excess water rate (if any) would have to be paid.

7.

I have shown this despatch in draft to Sir

E. Alexander-Sinclair, who concurs in it and is himself writing to the Admiralty giving his views on the subject.

I have the honour to be,

Sir,

Your most obedient humble servant,

Governor, &c.

Page

Enclosure 1.

Clause 22 of Sir Paul Chater's Will states as follows:-

"My wife shall be entitled to live rent free in my "residence at Victoria aforesaid known as "Marble Hall" if

"she desires to do so and in such event the said residence

"and the furniture fixtures and household effects in about "or belonging to the same other than my collection of China "referred to in Clause Twenty-five hereof shall not be "disposed of by my Trustees until my wife shall cease to "live in such residence And I further direct that if my wife "shall elect to reside in such residence she shall do so "upon the condition that she shall pay the Crown rent rates "and taxes and outgoings for the time being payable in "respect of the said residence and keep the same property "insured against fire and in good repair and duly observe "and perform all the Lessee's covenants and conditions "contained in the Crown Lease under which the said residence "is held and shall also keep the said furniture and other "effects insured and in a proper state of preservation."

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