No. 303.
Sir.
5368438
کچھ
GOVERNMENT HOUSE,
HONG KONG,
25th April, 1939.
14
I have the honour to refer to your despatch
2 No.453 of 23rd December, 1938, on the subject of the
report of the Auditor on the accounts of Hong Kong for
the year 1937 and to request further consideration of
the question of the treatment of securities deposited
by insurance companies in accordance with the local
ordinances. You stated in paragraph 2 of your despatch
that you would prefer that such securities should be
included in the Colony's statement of assets and
liabilities. The securities so deposited consist of
fixed deposits with local banks, British and other
Government securities and mortgages on local property (mortgages will not be accepted in the future as new
deposits, but those at present deposited will no doubt
be continued to be so held for some years to come). Of
these securities only the suns placed on fixed deposit
with banks are at present included in the Colony's
statement of assets and liabilities and it seems
difficult to draw a logical distinction between these
deposits and the Government securities and mortgages
which are also deposited for precisely the same purposes
under the local ordinances. The fixed deposits are not
strictly deposits with Government in that the cash is
Sc
THE RIGHT HONOURABLE
MALCOLM MACDONALD, M.P.,
&c., &c., &c.