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This accords with the observations in Your Lordship's

5 telegram of the 25th of March, 1930.

I also decided

that it was desirable that the Rent allowance for

dollar paid officers should as at present only be

drawn by those with ten years' service and not by

all such officers as recommended in section 180 of

the Commission's Report.

3. I enclose for Your Lordship's information

the Hansard Report of the proceedings in Legislative

Council. My speech, as recorded therein,

sufficiently sets out my views on this question.

4. With reference to Sir Cecil Clementi's

proposal to raise additional revenue for the purpose

of implementing the Report, as set out in the

eleventh paragraph of his despatch of the 22nd of

A

Į

January, 1930, I consider it inadvisable at the

present moment to make any increase in the Assessment

Tax as this would almost certainly have the effect

It will,

of raising rents all round, a contingency to be

avoided in the present state of depression.

however, probably be necessary to increase this tax

in connection with the Budget for 1931, in order to

meet the cost of necessary services.

5.

I decided, therefore, as already reported

3 in my confidential telegram of the 21st of June, 1930,

to recommend an increase in the tobacco duties, which

is already in force, and a tax of 15 cents per gallon

on petrol which has been enforced as from the 1st of

July by Ordinance No.4 of 1930, entitled an Ordinance

to

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