6. Abstract.

showing

the differences bakireen 6

Estummatio of Expenditure for 1981 & the Exturales for 1932

*on 82798/31

Y

Lov. 465

Y

Aphechuration:

Orde.

23/1

I am afraid lins has been somewhat delayed owing to frezeure Fwork. The Governor's commentaries on the ofer & confidential defort's oftice Retrenchment Commisowon have been received but have not get been considered.

The Hansard Report of the meeting of the

Lwgislative Council at which the Appropriation Bill was passed without amendment, has been

received and is now on 82749/31 below.

Chief criticism of the Unofficiul Members

was directed against the decision to pay sterling

salaries at the current rate of exchange as from

the 1st of January, 1932, subject to a minimum

rate of 1/- to the dollar and a maximum of 2/-

to the dollar. This criticism is echoed in

the newspaper report which formed enclosure No.3

(No.7)

to this despatch and in a letter which has been

addressed to the Colonial Office by the China

Association (in temporary cover on 82796 below). I have been unable to get hold of the main file

concerning this subject of the conversion of

sterling in Hong Kong. The reply to the China

Association has been delayed for this reason and

pending approval of the Estimates.

So far as I

know, since the Secretary of State's decision

regarding the termination of the existing

arrangement for the conversion of salaries in

Hong Zong, nothing has happened which would be

likely

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