B
C
14
works, events may in due course show that a large
outlay above this figure will be necessary to complete
be left
any scheme and will have to be borne by the Colonial
Government under the terms of this agreement.
Accordingly, it would not be unreasonable for the
Colonial Government to require that any works of
which the cost is to be met by the Colonial Govern-
ment, after the War Department's liability of
$975,000 is exhausted, must be subject to the approval
of the Colonial Government and to any reasonable
conditions they might attach, e.g., possible
Departmental execution and supervision of the works
(which might be less expensive than a bill presented
by the military).
Finally, I think we should consider
whether it would not be proper for the Colonial
Government to stipulate that they will not be liable
for any cash outlay, either for the completion of
anti-malarial works or for the maintenance of the
the
road system in/Kau Lung Tsai area until the
completion of the transfer to them of the Sham Shui Po
site (on which they are clearly dependent for any
substantial cash benefit from the proposed agreement).
Pending the arrival of the map and plan,
and before communicating with the War Office, I
suggest that we should put these three points, A, B,
only
and C, above to the Governor for his conson.
air mail
N
17.12.
28.
No questions of important principle
The
involved
I aper with the
as j
Etowa
Action Suppated.
Altoward 24th
Howal
1710176