་་ང་། །ང་ན་
(3)
(4)
7.
be borne on U.K. funds.
A grant to the Hong Kong Government to
be passed on to the Hong Kong
University to meet or assist in meeting
the cost of rehabilitating the
University.
An interest-free loan of up to
£3,500,000 towards the cost of con-
structing a new airport, if it is
decided to build one.
The proposals in sub-paragraphs (1) and
(2) are in line with those put forward by the Governor, in his despatch of the 12th December.
The main difference is that under the Governor's
proposals H.M.G. would actually assume liability
for the items instead of making a free grant
An unwing as we prosive, equivalent to their estimated total, which however
perperal hawwn,
makes no provision for any further charges in the
more recent Crown Agents accounts (paragraph 5
of the Governor's despatch) or the recurrent
expenditure on Volunteer pensions (paragraph 9
of the Governor's despatch). It is possible
that our proposal under sub-paragraph (2) that
H.M.G should make a grant of £5,000,000
provided that Hong Kong accepts the liabilities
concerned as a final eharge, instead of H.M.G.
assuming those liabilities themselves, may not
be altogether acceptable to the Governor,
nvolved especially as the liabilities include at least
-two, repatriation passages and scorched earth
claims, which Hong Kong feel ought certainly
to be accepted by H.M.G., irrespective of the
financial settlement. But we feel, and you
will no doubt agree, that we should, if
possible, avoid getting involved in the
question