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CO 537/1369
THE NATIONAL ARCHIVES
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restrictions. Further information is given in the enclosed Terms and Conditions of supply of National Archives' leaflet. Please note that this copy is supplied subject to the National Archives' terms and conditions and that your use of it may be subject to copyright
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necessary until the debtor-creditor question has been settled. Thereafter we can wait for the two Banks to make any further representations to us. A draft letter to the two Banks making this point is attached.
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*(4) The amendments (in (31) to (34)) proposed by the Bank of England, the Hong Kong and Shanghai Banking Corporation and the Treasury to the draft Ordinance validating the Hong Kong and Shanghai Banking Corporation's 'Buress" notes require consideration. I have gone through these with Mr. Williams and Mr. Caine. Mr. Caine is not disposed to accept Mr. Young's first point. Of Mr. Fisher's suggestions, he considers we can accept (2) (which we can put to Hong Kong in the despatch transmitting the draft Ordinance) and (7). As regards (a), neither Mr. Caine nor Mr. Hastings, to whom I have also spoken, can recollect the origin of the date of the 14th of April, 1946. The Hong Kong financial year is the calendar year, however, and I have therefore changed the date to the 1st of January.
I am
As regards his point (b) (the increase of the fiduciary issue) this is being looked after in a further draft Ordinance amending the Hong Kong and Shanghai Banking Corporation Ordinance, 1929 which has been prepared on file 55116 at the request of the Bank. attaching that file to permit simultaneous consideration of the two despatches and draft Ordinances. The -draft inter alia increases the fiduciary
issue from $30,000,000 to $46,000,000 without making any provision for its reduction in the future. Mr. Caine suggests that in sending the draft Ordinance on this file we should
/emphasise