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PUBLIC RECORD OFFICE

Reference -

TTTTT CO. 882

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO

2 PUBLIC RECORD OFFICE, LONDON

Appendix Z.

Appendit T.

Appendix A A.

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the suggestion contained in the War Office letter to your address of the 23rd January, 1871, instruct the Government of India to remove the armaments and equipments from the Straits."

This letter was answered by the Under-Secretary of State for the Colonies in a letter of the 22nd April, 1871, in which, in reference to the paragraph above quoted, he

wrote:-

"With respect to the concluding paragraph of your letter, I am to observe that, by referring to the letter from this Department of the 27th of April, 1869, it will be seen that Lord Granville did not admit the right of the Government of India to remove the arma- ments therein mentioned, and I am to state that Lord Kimberley concurs with Lord Granville in considering that these armaments are the property of the Colony, and is there- fore unable to acquiesce in their removal from the Straits Settlements."

On the 26th May, 1871, a reply to this letter was sent from the India Office con- taining this passage :——

"In reply, I am to state, for the information of the Earl of Kimberley, that his Grace the Duke of Argyll is unable to concur in the opinion expressed in the letter of the 22nd ultimo that the Government of India have not the right to remove the armaments, for if that authority is not entitled to remove or dispose of them, the references to it as to whether the armaments should be transferred to the Colony free of expense are super- fluous.

"I am to add that his Grace fails to see that the principle laid down in your letter of the 28th January, 1867, and referred to in your letter of the 27th April, 1869, respecting immoveable property, has been acquiesced in, either by this Office or by the Government of India."

On the 5th of June, 1871, the Earl of Kimberley directed the Governor of the Straits Settlements not to allow the removal of the stores or armaments without instructions from him.

It it necessary here to make a short digression in order to notice a discussion between the Indian Government and the Colonial Government of the Straits, pending at this date, which is closely connected with the subject-matter of this case.

After the transfer in 1867 there were certain accounts current between the Colonial Government and the Indian Government, in which was an item of Rs. 30,054 debited by the Indian Government to the Colony in respect of the value of stock in store, as shown by the book of the Public Works Department, on the 1st April, 1867. This item was disputed by the Colony.

On the 26th of May, 1871, the Governor-General in Council passed a resolution, which states the item, with the ground of objection held by the Colonial Government, and the views of the Indian Government thereon.

The part of the Resolution dealing with this item runs thus:-

"No. 556, Government of India, Financial Department.

"Accounts.

"Simla, May 26, 1871.

Resolution.-The Governor-General in Council observes that-

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"12. The disputed items are thus detailed by the Auditor-General, Singapore, with the grounds of objection held by the Colonial Government, viz:-

"Rs. 30,054:0:2, or the value of public works' stock in store at the time of transfer of the Settlements from the Indian Government to the Colonial Office, it being held by the Colonial Government that the stock in store at the time of transfer became the property of the Colony without charge.

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"Respecting the item of Rs. 30,054:0:2, the Governor-General in Council would be glad to have a fuller expression of the views of the Colonial Government. In the correspondence received with the Secretary of State's despatch No. 18, dated 31st January, 1867, it was arranged that the Indian Government should make over to the Colonial Government 'all property which may be properly considered as belonging to the Govern- ments of the different Settlements, including, probably, all immoveable property, except for a time that which is held in connection with the convict establishment,' while the Colonial Government was to take over, at a valuation, such property as, though not properly belonging to the local Governments, could be so taken over with convenience to both

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parties. It does not appear on what grounds the stock in store, amounting to Rs. 30,054 0:2, is classed with immoveable property, instead of as stores transferable at a valuation."

The same resolution contains two other paragraphs referring to the armaments in dispute.

"In the papers received with the Military Departments, No. 789, dated 21st of November, 1869, a question is noticed, among others, respecting the propriety of making any charge for the armaments left in the Settlements. On this subject it was stated by the War Office, in a letter dated 4th August, 1868, that the Imperial Government was under no obligation whatever to furnish fortifications or their accessories, in the Straits Settle- ments; and that the Colonial Government would have to consider whether it would be advisable to purchase the armaments on its own account, or to return them to the Indian Government. A remark was added, that the Imperial Government had no available funds for paying for the armaments; but this, it is possible, expressed merely a want of budget provision in that particular year (1868).

"The Secretary of State for the Colonies considered, in his letter dated 27th April, 1869, that the armaments on the forts should be classed with the property, including immoveable property, which was to be regarded as property belonging to the local Govern- ment, and as such to be handed over to that Government by the Government of India, free of cost, on the transfer of the control of the Colony to this Department."-See also paragraph 12 of this Resolution.

"The cost of the armaments has been charged to the Imperial Government; and the decision whether the Indian Government should forego its claim will rest now with the Secretary of State for India. The Governor-General in Council apprehends that were the armaments to be changed, the cost of the improved armaments would devolve on the British Government, as an incident of the military protection, for which the Colony pays a subsidy of 59,0001. a-year; and in this view the Imperial Government seems liable to make good the value of the armaments to the Indian Government, they not coming within the category of immoveable property."

The Colonial Government, in accordance with the suggestion of the Governor- Appendix BB General in this Resolntion, sent to the Indian Government, on the 1st of November, 1871, a fuller expression of their views on the subject of the stock in store above-mentioned. They detailed what the stock in store consisted of; and said, that the question was, whether such stock ought to be considered as "properly belonging" to the Colony or not; that the Governor, Sir H. Ord, considered that it ought, on the grounds that it constituted a part of the necessary appliances for carrying on the administration of the Colony; and that it is in no way different in character from (to give the closest example), the stock of unused stationery in different offices, or any other of the moveable property which was taken over at the transfer, and for which no charge was ever contemplated.

It cannot escape observation, on comparing the date of the above Resolution with the date of the letter from the India Office to the Colonial Office, last quoted, that, on the same day, 26th May, 1871, the India Office, in London, failed to see that either the India Office, or the Indian Government, had acquiesced in the principle of the Colonial Office letter of 31st January, 1867, and the Indian Government at Simla appealed to the letter; cach of them taking that view of the letter which seemed to each most likely to throw liability on the Colony, without regard to the view taken by the other, and this, though the letter had before them for more than four years.

The Colonial Office waits to learn which of these two views is now adopted by the India Office, before offering any further remark on this point.

To return from this digression.

On the 22nd of November, 1871, the Under-Secretary of State for India wrote to the Appendix C C. Colonial Office in reply to, among other letters, the letter of 27th April, 1869, before mentioned, that he was directed by the Duke of Argyll to embody, for submission to the Earl of Kimberley, and for his Lordship's guidance, the substance of a reply which had been received from the Government of India on various points submitted to that authority.

The answer to the first point was as follows:-

The Government of India, in answer to the reference made to them, in compliance 1st. Whether the Government with the suggestions contained in your letter under reply, of India, are disposed to transfer express their conviction that, with due regard to the interests the armaments, together with which they are bound scrupulously to respect, it would be certain stores forming their equip- nients to the Colonial Government impossible to submit to the loss of any portion of the stores free of charge."

or armaments so fairly charged under the careful and direct

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