SEEN BY DEP-
No. 133.
514
RECEIVED
21 MAR 1940
C. O. RECY
20
53521/403.
GOVERNMENT HOUSE,
HONG KONG.
11th March, 1940.
Sir,
2/53533/38.
св
I have the honour to refer to Mr. Ormsby-Gore's despatch No. 9 of 15th January, 1938, in which approval
was given for the expenditure of a sum not exceeding $100,000 in respect of the salvaging and reconditioning of the rescue tug "Kau Sing"
2.
In April 1938 it was estimated that the necessary repairs to the "Kau Sing" would be not less than $191,000 and, on the advice of the Harbour Advisory Committee and with the approval of my Executive Council, I decided that the reconditioning of the tug at this figure was not an economical proposition and gave instructions that she should be sold as she lay.
3.
The best offer was received from Mr. A.E. Gerondal acting on behalf of Messrs. Mollers' Limited of Shanghai and Hong Kong, and the tug was duly sold to Messrs. Mollers' for the sum of $50,000. Copies of letters exchanged between the Harbour Master and the purchasers are enclosed, and it will be observed that the purchase price included all equipment and spare, on board and ashore, with the exception of four specified articles.
4.
In June 1939 a propeller and shaft, after being condemned by a Board of Survey, were sold as scrap for
the sum of $435. The purchaser then resold the propeller
THE RIGHT HONOURABLE
MALCOLM MACDONALD, M.P.,
&C.,
&C.,
&C.