programme should be charged to C. D. & W. funds;

and that posts under C. D. & W. schemes will normally

be on contract terms, save where recruitment on

this basis would be impossible or cause hardship,

or the retention of the post on a permanent basis

after 1956 can be justified.

I further observe, however, that Harding's

letter to you No.19275/92/47 of the 18th June makes

the important reservation that further consultation

with the various Departments concerned of the Colonial

Office would be necessary before anything could be said about

the general application of these proposals to territories (other than the West Indian colonies) which are Treasury-

controlled. This consultation has not yet taken place,

and I cannot therefore commit myself one way or the other

in this letter in regard to the suggestion in your

letter that we should consider whether the post of

Registrar of Co-operatives should be charged to Hong Kong's

C. D. & W. allocation, or in regard to the implied suggestion

that we should consider whether the cost of the Development

Secretariat and its officers ought to be met, either in

whole or in part, by C. D. & W. monies. It is however

necessary that we should reply without further delay to

Sir Mark Young's staff despatch No. 43 of the 10th of March,

a copy of which was enclosed in my letter to you of the

5th of June, about the appointment of a Registrar of

Co-operatives, and I hope therefore that you will not

object to our sending off at once the despatch of which

the draft was also enclosed in my letter, on the

understanding that this will be without prejudice to an

eventual decision on the question of the source from which

(1) & (4)

(4)

the

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