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disposal of the Admiralty.

Owing to the state of the Colony's finances and

the fact that probably considerable expenditure would

be incurred in the acquisition of an aerodrome site, the

Colonial Secretary was unable to sanction cny expenditure

on the R..V. R. scheme which has had to be indefinitely

postponed (18th July, 1927).

Their Lordships reluctantly acquiesced in the

necessity for this step and pointed out the possible

recctions it might have not only in Hong Kong but in

other Colonies.

The Secretary of State for the Colonies, in his

despatch to the Governor of Hong Kong, dated 3rd August,

1927, stated that he was at liberty, if he so desired, to

consider the matter further in connection with the 1928

Estimates, if by that time any substantial improvement in

the financial position is evident.

Plans Division.

26.9.27.

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