89
allocations, 10.6, was considered to represent
Hong Kong's notional share of £1,707,600, er
£181,000.
5. In the light of further considerations
which has since been given to this problem I now feel,
however, that it can reasonably be contcnded that the
proceeds of sale hring the period of the British
Military Administration should legitimately be treated
as reducing the cost of that Administration since the
latter was functioning in place of the Civil
Governments; and that as the net cost of the B.4.A.
has been borne as a final charge on U.k. funds, H.M.C.
has in thiɛ manner discharged to Hong Kong its
obligation to Hong Kong in respect of its share of the
£181,000 related to the B.kl.A. period.
6. As regards any part of the rice which may
have been sold after the Civil Government was re-
established the proceeds of which, subject to the
further informɛtion asked for in para. 3 above,
presumed to have been paid over to H. X.G. as part of
item C(b), somewhat different considerations arise,
It is of course impossible to say whether or not this
particular rice resulted in sales in the period
subsequent to the military Administration period, and
any division between receipts from sale during the
periods would have to be on a purely arbitrary basis,
Moreover it is clear that on the arbitrary basis of
assessing Hong Kong's share referred to at the end
of paragraph ▲ above, any notional credit due to the
Colony has no relation to the actual rice delivered
to, and therefors sold in, that territory. It appeara
that