41
of $2000,000 will be paid by the Hong
Kong Government to the Admiralty, and
no question of expenditure falling on
Naval Funds will arise.
5.
If for any reason it should not
possible to reach an agreement on these
lines, I am to point out that Sir
Philip Cunliffe-Lister cannot agree
that the question of the retention of
should
this ropeway be treated as an
entirely separate matter from the
agreement to pay the Admiralty $2,000,000,
in return for which the Hong Kong
Goverment expect delivery of the
Naval Arsenal Yard free from encumbrances.
I am
>
etc.
(Signed) H. R. COWELL