Enclosure No.1.

Hon. Colonial Secretary.

1. I regret to have to report that Chan Yik Shing, Shroff,

Radio Branch (1936 Civil List page 126) absconded yesterday

with $3019.68 in cash.

2. He is No.1 in Class V, and has over 10 years service.

His salary is $1400 p.a. and he is secured for $500, his

pension rights being regarded as additional guarantee.

3. The cash amount to be paid into the Bank in the morning was abnormally large ($2788.62) owing to 11th November being a

Payment is made twice a day and the cash amount is

normally under $1000.

holiday.

4. The paying in slip was presented about 10 a.m. for

signature to Mr. E. V. Reed (Civil List page 70, Class I, Local

Establishment Senior Clerical and Accounting Staff) who is in

charge of the Radio Office accounts, and whose office is on

the first floor of the Post Office Building. The shroff

appears not to have accompanied as usual the Post Office

shroff and detective to the Bank but as this has occasionally

happened before as the money was not available owing to Mr.

Kemp's absence at the aerodrome radio station suspicion was

not thereby aroused. The shroff returned to the Radio Office

about 12 noon and remained there till 1 p.m., during which time

he appropriated an additional $231.06. He did not reappear

after lunch.

5. The fact that the paying-in slip had not been received

receipted by the Bank was not brought to my notice till 3 p.m.,

when I was informed by the Chief Accountant, Mr. Mills.

6. That Mr. Reed did not take action to enquire if the

money had been paid in and if the shroff had returned when the

paying-in slip had not been received by 12 noon shows a

complacency amounting to negligence, especially as the amount

was abnormally large. His explanation is attached. myself occasion to speak to Mr. Reed regarding a money order

matter at 2.30 p.m. and he was then apparently unaware

I had

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