Copy.

TELEGRAM RECEIVED.

From: Secretary of State.

To: Governor, Hong Kong. (No. 861).

Dated: 12.9.46.

Recd: 13.9.46.

21

Enclosure No 2

G.T.C.

Your telegram No.932. Small craft.

Admiralty are not prepared to undertake the financial responsibility for the storage of small craft in Australia pening the shipment to Hong Kong. ·

2. I understand that Admiralty message No. 0520 of the 10th of April quoted in para. 3 of your telegram No. 723 refers to Royal Navy requirements only.

3.

Admiralty signals, referring to small craft for civilian use, are V.A.(Q) No.0806 of the 21st March and the Commodore Hong Kong's No. 221130 Z of March. The 1st of these signals gave details as to the cost of maintaining 69 small craft at Sydney, and asked for authority, to be obtained, to proceed on behalf of the Government of Hong Kong. Paragraph 4 of the second read as follows:-

11 Colonial Government requests that arrangements be made for the maintenance as in your No.0806 of the 21st of March".

4. Under these circumstances it does not appear that the Admiralty can be held liable for these expenses.

A

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