G/T/E:CA
896/29.
sir,
22nd May, 1935.
24
With reference to your letter No.H.K.548
of 4th May, 1935, on the subject of the re-allocation to
the Admiralty of a portion of the Royal Naval Armanent
Depot, I have the honour to inform you that, subject to
the approval of the Secretary of State for the Colonies,
this Goverment would be willing to re-allocate to the
Admiralty a portion of the area in question on terms to be
mutually agreed.
The proportionate price of the area
coloured red in the plan enclosed with your letter to the
price, $2,000,000, paid to the Naval Authorities for the
whole area surrendered to this Government would be $360,360.
In addition to this there would have to be added the
proportionate part of the total amount of interest lost to
Goverment on the monies paid by it for the whole area,
This total amount taken at simple interest per annun
from the different dates of payment to 31st May, 1935, comes
to $208,218 for the whole area, and to $37,517 for the red
area. The total sum payable on 31st May, 1935, by the
Naval Authorities for the red area would therefore be
$397,877 ($360,360 - $37,517). The amount of the interest
payable would be recalculated to date of payment.
The Commodore in Charge,
Hong Kong