Orij. on 53652/48

IF.16/10/03

47 20.

23rd November, 128,

Dear Vallace,

I have a few axments on liong Kong Sevingram No.699 about the financial position for the first six months of the financial year 1948/49. In general the position disclosed seams reasonably satisfactory and shows that we were right in suspecting that the estimates had been conservatively freed.

In paragraph 8 the Governor mentions the alain which the 5337 :inistry of Transport is making for craft supplied to the Harbour

78 depart ent. We would like to be kept in touch with those

mes

·

negutiations.

In paragraph 10 the Governor hints at a possible furtiver riss in cut of living allowances. Any such move should in our opinion Lquest and he strongly recimo, as it entails devoting yet more revenue to

this unproductive purpose, To would certainly like to be kept closely informed of any proposals to increase the allowances.

Incidentally we seem to have no copy of your dispatch 0.302 of the 25th September, 198, to which the Governor refers. wan we please have one, if it is relevant to the pointe I have mtgad

I. J. Wallace, 280,, 0.B.E.,

Colonial Office,

Church House,

Great Sith Street,

S.W. 1.

Yours sincerely,

7. ALL EDMUNDS.

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