to face consequent repercussions, if any, on Hong
Kong's general financial situation vis-a-vis H.M. G.
This gives us general cover for the proposal on paragraph 3
of your telegram to go to the Legislative Council for
the money
recurrent expenditure and would if you agreed and could find
give similar cover for capital expenditure to be
charged against Hong Kong Estimates.
4.
*
Treasury have unofficially made following suggestions
as to other possible ways of finding funds:-
(a)
(b)
(၁)
(a)
Hong Kong War Memorial Fund, if there is likely to be a balance available after expenditure against the First and Second Schedules under the Ordinance has been met.
They are
Treasury is about to suggest that certain items at present proposed to be met from proceeds of loan might be included for C.D. & W. assistance since they are development rather than rehabilitation projects, thus releasing corresponding amount towards re-establishment of University I do not yet know how much would be involved.
esity
Possible limited assistance from British Council from
its foreign expenditure in view of value of University in Sino-British cultural relations. This is being investigated.
Local subscriptions.
5. In connection with sub-paragraph (d) above, we have noted
paragraph 1 of your telegram; if prospects are poor, possibly
Gove nment dollar for dollar contribution might help.
[and
6. Subject to suggestions in paragraphs 4 and 5 above
also to possibility of any part of capital expenditure which
can be regarded as development being included in application for
grant from central G.D. & W. allocation, there seems to be no
alternative to meeting capital grant of $4,000,000 as well as
recurrent deficit from Hong Kong funds.
7. I am afraid that the foregoing is very disappointing.
May we assume that you will now discuss the matter further with
University Authorities, and put up proposals for Government
If loan funds
faras This might sepresent detoxent rather than retostatitation
assistance