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to meet the difference between the cost of a good general hospital and a teaching hospital, i.e. it has been prepared to meet the cost of these extra facilities required in a teaching hospital. We believe that the first four projects shown on page 3 might be approved by the Colonial Universities Grants Committee and we wish to make an immediate application. Unless we apply soon we shall be too late because the fixed sum at the disposal is nearly exhausted.

Almost the first enquiry of the Grants Committee when our application is considered will be about the tenure on which we can use the hospital for teaching. I would emphasize that this Committee is concerned entirely with facilities for teaching and research. It naturally will refuse to recommend the spending of $800,000 unless it is assured that the hospital may be used for teaching for a sufficiently long period to justify the spending of this large sum. This is the only reason for our wishing to have a lease for a fairly long period.

The above considerations form a brief outline of the types of change which would be necessary for the implementation of the University's suggestion and explain the urgency of our

Authorities I should be grateful if the Tung Wah Hospital could now make clear their attitude to these proposals, as the time has come when a final decision is called for.

case,

I have the honour to be,

Sir,

Your obedient servant,

(sgd).D.J.Sloss.

Vice-Chancellor.

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