5
this to be come a practice. Hong Kong never
observed their old limit of $1200 (which
certainly was impracticable), but we must not
let them begin to disregard the new limit in
practice on grounds of urgency. It is
always possible to consult the Secretary of State
by telegram and if the expenditure absolutely
must be incurred at a few hours notice, they
can at least inform the Secretary of State
by telegraph. I think we should, therefore,
instruct the Governor to proceed accordingly
in future.
(2). No. 12 submits a Report of the
Finance Committee in accordance with the usual
previous practice. I think the intention
of the present system is rather that the
Secretary of State should formally be asked
to approve the expenditure only on the
quarterly returns (except where his prior
sanction is needed). We might, therefore,
inform Hong Kong that the practice of sub-
mitting these Reportsseparately may be
suspended.
(3). It appears that some of the
expenditure submitted in the Quarterly
Returns, has not yet been approved by the
Legislative Council. I understand that
it is intended that the Secretary of State
should not normally approve expenditure until
it has been approved by the Legislature.
If