او
5.3955/01.
SECRET
1st November, 1940.
2.1
Dear Coxell,
T
.:
I am afraid that our recent upset has led to some delay in re lying to your letter of the 19th September. (M.0.17901/40, in which you informed me that you had recently heard that Hong Kong, as a result of unex e tea expenditure on evacuation could finance the
instead of four building of only to Bangor menesveene s
as originally proposed. You added that as an immediate reply was necessary you had to inform Hong Kong that you would take over two vessels, Hong Kong having stated that if money became available in 1941/2 it would be an lied in aid of them.
I thought it well to consult the Colonial Office about this question since all previous negotiations have been carried out through them and I have heard from them that they have no information from Hong Kong as to that Government's inability to pay for the building of all four minesweepers. They add that they have shown sir. G. Northcote, the Governor of Hong Kong who is at present in this country, a copy of my letter and that he has suggested that if it is possible to leave the matter
he will look over until nis return early in the new year,
nto it to see whether any of the difficulties felt by
The the Hong Kong Government are capable of being removed. Colonial Office are inclined to think that this would be the best course.
I am writing to inform them that the Treusury agree to thei. proposal and I shall be lad if you will take any necessary action at your end.
It does not appear consequently that in this case much harm will result from the fact that the Colonial
7. B. Coxwell Esq, O. B. e.
Admiralty.
Office