34
No. 268
Sir,
53510/39.
214
GOVERNMENT HOUSE,
HONG KONG.
25 APR 1939
12th April, 1939.
on
/38
Copy attached
Arad 3-
I have the honour to acknowledge the receipt of
your despatch No. 28 of 20th January, 1939, on the subject
of the suggested opening of a suspense account for the
Kowloon-Canton Railway entitled "Kowloon-Canton Railway
Suspense Account D, Workshops Suspense Account". You then stated that you doubted the desirability of the departure from the procedure for Unallocated Stores as prescribed in paragraph 8 of Lord Harlech's circular despatch of 25th → November, 1937, in the absence of further explanation as
to any special circumstances affecting the Railway
Workshops Accounts.
2. I venture to bring to your notice the following
special circumstances. This account is of the nature of
a trading account. There are charged to it in the first
place expenses of work done by the Railway for other
departments, e.g. mechanical repair work and manufacture
of tools and instruments of a mechanical nature. In such
cases the system of charging to expenditure sub-heads means that the same expenditure is shown twice over in the accounts and sometimes three times, since stores used may already have been debited to the Unallocated Stores sub- head. I should not, however, press this point particularly as the sums involved are comparatively small, having been
THE RIGHT HONOURABLE
MALCOLM MACDONALD, M. P.,
&C.,
&C.,
&C.