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PUBLIC PECORD OFFICE

Reference :-

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C.O.882/12

164

announcement that measures of direct taxation were in conteni plation before rates or details of proposed measures were known. The proposed increases in licence duty has not yet been announced. I realize that delay means risk of financial breakdown and that no alternative measures are available but unless an adequate staff and a sufficient force were available to force present programme through I do not think that it would be possible to do so at any rate at the moment. If there is a definite improvement in the sugar market in the near future I think that situation will clear up and that a modification of the Commissioners' programme might perhaps meet the case. If not I am afraid that even proposed measures will not be adequate.

Publication of Commissioners' Report and further discussions may reveal differences of opinion among unofficial sections but for the moment both Nominated and Elected Members are acting in con- cert. There are, however, likely to be divisions of opinion on Constitutional reform as to which I will telegraph further.

General position is more or less as anticipated in my despatch of 26th October,* paragraphs 8 to 11, except that demand for heavier reduction in Civil Service salaries is more general than I expected though it is possible that further developments may reveal divisions on this point. In these circumstances I feel bound to advise that action be not pressed pending fuller report by despatch. I should be glad to know when copies of Commissioners' Report. were posted.

C. 93921/32 [No. 29].

No. 49.

Telegram from the Secretary of State for the Colonies to the Governor of Mauritius.

(Sent 7.15 p.m., 19th February, 1932.)

No. 38. Your telegram No. 33. In view of attitude adopted by Unofficial Members 1 have felt it necessary to withhold re- mittance of further sums under Guaranteed Loan and advance to planters and others must cease pending some settlement of financial position. Will address you further as soon as possible.-CUNLIFTE- LISTER.

C. 93921/32 [No. 29A].

155

No. 50.

Telegram from the Secretary of State for the Colonies to the Governor of Mauritius.

Paraphrase.)

(Sent 4.30 p.m., 20th February, 1932.)

[Answered by No. 52.]

Secret No. 40. Your Secret telegram of 12th February. I fully appreciate the considerations referred to by you. I under- stand, however, that the new customs duties are already in force, that railway and some other retrenchments have commenced, and that you do not propose the postponement of the operation of the salary levy. In these circumstances it does not seem to me fair not to call upon direct taxpayers for some sacrifice. You may, at your discretion, agree to occupiers tax applying for 6 months only of current year instead of full year as proposed, but, for the reasons shown in my separate telegram. I am not able to agree le postponement of the consideration of any increased direct taxa- tion until after the Budget. This concession myst further be sub- ject to the condition that the position will be reviewed towards the end of the financial year after the Report is made publicly avail- able, when it may be necessary to call for further sacrifices.

The foregoing and my telegram No. 41 were drafted before I received your telegram No. 33, which I have not yet fully con- sidered. The message to Unofficials should, however, be communi- rated as authorized in my telegram No. 41. I trust that the publication of summary of proposals of Commission will lessen opposition on the part of poorer classes, who should see that they are to be relieved of taxation, not further taxed, but if you antici- pate that danger of disturbance will still remain please inform me by telegraph as soon as possible your recommendations for strengthening forces available to cope with it. Do you suggest any addition either of officers or men to Police Force and can steps be taken to improve efficiency and quality of Force?-CUNLIFFE LISTER.

I.

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* No. 37.

† No. 48.

* No. 46.

† No. 51.

No. 48.

ALLY WITHOUT PERMISSION OF THE BF REPRODUCED PHOTOGRAPHIC-

COPYRIGHT PHOTOGRAPH-NOI TO

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