2. In the light of the above declaration the

Government of Hong Kong have rod whether

should

a war damage compensation scheme be introduced.

expert

As a result- however of an examination of the

whom they

problem by a Commissioner/appointed, to repert

regard

on war damage claims received by the Hong Kong being had expecially to,

Government, they have come to the conclusion

that there does not appear to be any general

need for a compensation scheme in Hong Kong.

in view of the great commercial prosperity

which the Colony has enjoyed since its

ig

liberation, a result of that prosperity, much of the loss arising out of war damage

and losses has already been recovered, and

it does not appear that rehabilitation of

industry and commerce is being held up by

any lack of financial resources.

the Government of Hong Kong, after full and

careful consideration of all aspects of the

problem, have recommended that no compensa- tion should be paid for war damage.

3. H.M.G.

Accordingly

18..

Consequent upon the?

Colony's prosperity

after most careful consideration have decided to

considered fest carefully

this recommendation by the Government of

Hong Kong and have decided to accept it

Revertheless, they are anxious to give

practical assistance to the Colony,

as

evidence of goodwill and of their belief

in the Colony's future. The extent of such

assistance must necessarily be determined

having

by the ability of H. M.G. to help in the Ford to

stef conditions in the United Kingdom

following the crippling losses entailed by

the war and the heavy burden of taxation

falling on the United Kingdom taxpayer.

In spite of these factors, they have felt

to

accept

able

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