(e) There may be other abilities for which no provision was made such as rental for Electrical Companies and net operating costs outstanding from period to 30th April 1946: cost of return passages to Hong Kong of ex-interness, ex gratia payments to temporary Government servants who were interned, etc. and it is not clear whether any provision is required covering trading activities of the Supplies Department, ospecially as any receipts from sales of supplies purchased from War Office funds will be paid over to the U.K. Exchequer.

TWO

In view of above, supplementary provision will have to be taken in U.K. estimates for current year probably in Jul: 1946. Please telegraph before June 5th in light of above facts and any other changes in financial position locally known to you, revised estimate probable deficit period 1st May 1946 to 31st March 1947.

Three. No provision can be made for any possible contribution towards cost of Military Administration or for compensation for war losses and damage as it is not possible to say at this date when final decisions will be reached on these matters.

Four.

Your telegram No.175 21st May, I am not clear whether the information in that telegram affects the above position in any way.

Co les sent to:

Treasury.

*

Crown Agento.

Hong Kong Government Accounts.

100, 001

11 van

2012000

jo

11/2000

131

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