Enclosure No. 2.
THE INDEMNITY AND VALIDATING ORDINANCE,
1946
21
1.
Explanatory observations in accordance with Article XXVIII of the Royal In- structions
The Ordinance follows closely the Indemnity and
Validating Ordinance enacted in the Colony of Singapore,
and the draft for the Malayan Union which had previously
been forwarded by the Secretary of State to the British
Military Administration.
2.
The draft in question did not contain any provi-
sions for the continuance with Government of contracts
made with the British Military Administration but Section
6 of the Singapore Ordinance, a copy of which arrived two
days before the enactment of the Hong Kong Ordinance was
enacted, did, and it was thought advisable to make corres-
ponding provision here. The words "or purporting to have
been entered into" in Section 6 of the Singapore Ordinance
were considered too wide. In Hong Kong the British Mili-
tary Administration included other branches of the services
besides Civil Affairs and there may well be some contracts
which were entered into without authority and which either
should not be ratified by Government or should be varied.
A possible example is a contract for repairs and addition
to the Royal Hong Kong Yacht Club which was used as a Ser-
vices Club, in which the expense alleged to have been in-
curred appears unjustifiable. It was also thought that
there may be contracts, such as for services or for supply
of labour and material which were verbal or were neither
expressed to terminate at the termination of the British
Military Administration nor intended to continue thereaf-
ter. The words "unless the contrary intention appears"
were accordingly inserted in the Hong Kong Ordinance.
3.
Instructions from the Secretary of State as to
: