1

C

л

TELEGRAM /

*

Draft

• The word Priority may be entered here, if necessary.

To:-

GOVERNOR,

HONG KONG.

19

File No.

54150/51.

Fishe

Sent. 15.45 Mrs.

Mr. Palmer 10/5

Repeated to :-

Mr. Somerton 11/5

Mr. Hall

din Tunney,

Mr. Deswith "/T

aht

Priority:-

Sir

XXOOX

Permt. U.S. of S.

Parly. U.S. of S.

S. of S.

XXXXXXXXZXZXяXXX

XXXXXXXX30XX

Immediate.

XMKYZIEK ZIZKI

(10)

To be transmitted:-

In XXXXXX

XXXXXXXXX

Cypher

Typexe

Your telegram No. 537.

hours.

11/5/51/1014

No.boj

yes.

RESEKANZX

Secret

XXXXXXXXXX XXXXXXXXXXIX

Netherlands Harbour Works.

(Treasiry (Mr.Lovelock)

Agree).

RECEIVED

11 MAY 1951

In Tel. CO.

Distribution :—

وا

(8)

Copy to Mr.Somerton for registration on defence papers.

Circulate as in No.10.

Further action :-

Wt. 23588,882 50m 9.49 Wa. & Co. 51/3

(8)

There is of course, objection, to Broposal in

not come her titsby sching paragraph 1 of your telegram No. 516/that similar

protection against losses in the event of war may be de-

manded by every expatriate contractor employed on Govern-

ment work. Moreover for H.M.G. specifically to under-

write the proposal might be argued by interested parties

as committing H.M.G. to 100% compensation for war damage

and losses should such circumstances unfortunately arise

more especially if the damage or loss were due to denial

action carried out either on Government orders or directly

by Government servants. Paragraph 3 of your telegram

No.516 seems in fact to indicate that Government would be

committed even more strictly to 100% compensation than

if requisitions were carried out under defence regulations.

You are of course, fully aware of the difficulties of this

problem arising out of denial action taken in 1941 and

H.M.G. is naturally anxious to avoid being committed in

any way on this matter without full consideration of all

its aspects. In the above circumstances this problem

has far wider implications than concern Hong Kong on this

particular contract. H.M.G. is therefore bound to

reserve its position and cannot (repeat cannot) accept

/that

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