SCHEME

FOR D

DISABLED

MEN

12 11

THE WAR OFFICE,

LONDON, S.W.1.

6 November, 1936.

I am commanded by the Army Council to refer to your letter numbered 53538/36, of 25th September, 1936, referring to the proposal made by the Governor of Hong (in q) Kong that the Sand Monopoly constituted under Hong Kong 10 5370rdinance Number 50 of 1935 should be regarded as a

36productive undertaking, only the net receipts of which

are liable to assessment for the purpose of determining the Colony's military contribution.

I am to say that the Council are prepared to agree to this proposal, (subject to the condition that, in order to arrive at the net receipts assessable for military contribution, only such expenditure as is directly concerned with the productive aspects of the monopoly should be deducted from the gross receipts: example, the Council would not regard expenditure incurred in enforcing the "preventive" provisions of the Ordinance as fulfilling this condition.

for

The Under-Secretary of State,

Colonial Office,

S.W.1.

I am,

Sir,

Your obedient Servant,

At Widdows

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