DRAFT.

HONG KONG.

NO:

GOVERNOR.

sir.

29

Downing Street,

September, 1930.

I have the honour to

acknowledge the receipt of your

despatch No. 349 of the 3rd of July

on the subject of the claims of the

British section of the Kowloon-Canton

Railway in respect of the suspension

of through traffic.

2. After consultation with

the Foreign Office I have agreed that

the claims should be tacitly dropped;

that is, as suggested in paragraph

2 of your despatch, they will not be

pressed nor representations on the

subject renewed: but on the other

hand no announcement will be made

to

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