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Mr.

Mr..

Mr.

Mr...

Mr.

Secretary of State

Top Secret and рельная

Your Reference..

DRAFT.

Minister of State

Sir A. Grantham,

K.C.M.G.,

Government House,

Hong Kong.

FURTHER ACTION.

For the Secretary of State's Signature

In the course of discussions in connection

with the decision to send further reinforce-

ments to Hong Kong of which I told you in my

telegram, it has become apparent to the

Prime Minister, myself and my colleagues that

Hong Kong is rapidly assuming the character

of a fortress, and we have been giving urgent

consideration, in consultation with the Chiefs

Situation of Staff, to the solution which accordingly

emerges.

for the pursent at least

Two things are clear (a) that the Civil

Administration must continue to be carried

on

in the interests of the Colony generally

by a civilian Governor who is familiar with

all the local problems and difficulties, and

(b) that in the interests of military

preparedness and efficiency the appointment

of a Supreme Commander is needed, whose

decision in matters of defence and security

in the last event must prevail.

ing

We have been giving consideration as te

dividuata how in the present circumstances these criteris

could best be achieved and have come to the

conclusion that the best course would be to apport-a Supreme Commander and to

adopt the arrangement which existed in Ceylon

/ during