1/1715/35.
E:CA.
COPY.
Enclosure No.4.
CONFIDENTIAL.
ง
9th August, 1935.
Sir,
With reference to your letter of 2nd August, 1935, regarding a guarantee from His Majesty's Government in the matter of the Macao Waterworks Scheme, I am directed to enquire if you could supply me with a form of guarantee, so worded as to be acceptable to you, which could be submitted to the Secretary of State for the Colonies. The wording adopted in the penultimate paragraph of your letter of 25th July, 1935, is so indefinite as to be unlikely to prove acceptable even if the general principle of a guarantee is accepted by His Majesty's Government. It will almost certainly to the liability be necessary to insert some limit under the guarantee and in this connection it appears from a telegram sent by Sir William Peel in April that a guarantee up to about $1,000,000 was at that time considered by you to be sufficient.
I am, Sir,
Your obedient servant,
sd. D.W. TRATMAN,
Colonial Secretary.
V.M. Grayburn, Esq.,
Chief Manager,
Hong Kong & Shanghai Banking Corporation,
Hong Kong.
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