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PUBLIC RECORD OFFICE

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C.O.882/12

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examined in this Office. The substance of the former is that the Military contribution at present paid should be wholly remitted the next financial year, and that its basis should be revised thereafter. These proposals were made by the Governor before the cyclone which caused extensive damage in the Colony, and may be necessary for Lord Passfield to submit more comprehen- sive proposals the relief of the Colony when further information is available. (Copies of correspondence regarding the cyclone and effects have already been sent to the Treasury with the letter of the 12th of March.)† The results of this disaster, however, necessarily render the financial difficulties of the Colonial Government more acute, and Lord Passfield feels that the case the remission of the Military contribution for one very much strengthened. He would request that Their Lordships' attention may be drawn to the fact that when, in 1892, Mauritius was previously visited by a disastrous hurricane, the Military contribution was remitted for a period.

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4. Lord Passfield would therefore be glad if Their Lordships will give their early and sympathetic consideration to the proposal a special act of grace, the Military contribution of Mauritius should be remitted for the Colony's next financial year, commencing of July, 1931. The Governor's suggestion for a re- of the basis of the contribution in future years will require further examination, and Lord Passfield does not wish to submit any proposals on the matter at present. Normally, correspondence on questions of Military contributions is conducted with the War Office, in view of the nature and circumstances of the present proposal, which does not involve any question of principle as to of the contribution, it was considered preferable to appeal to Their Lordships. A copy of this letter will be sent to the War

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C. 84507/31 [No. 9].

No. 27.

WALTER D. ELLIS.

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

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(Received 9 a.m. 27th April, 1931.) [Answered by No. 30.]

48 Confidential. 27th April. Firat revised draft of Estimates financial year 1931-32 shows expenditure of Rs.14,600,000 as compared with revised Estimates Rs. 14,925,000 for the current

C. 84558/31 [Nos. 2 and 3]: not printed. + No. 5.

* Nos. 1-4;

and

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year. This is after cancelling travelling privileges of Civil Servants by rail, reducing provision for leave passages, amalgamation of number of schools saving Rs.80,000, and reduction of public works to barest maintenance. Medical Department reduced by Rs.80,000 as compared with last year, but Poor Law will need 95,000 more and will exceed estimate by that amount in current financial year. Estimate includes Military contribution of Rs.721,000 and Widows' and Orphans' Pension Fund contribution of 378,000 (see my despatch of 20th January, 1931, Confidential*).

Revenue exclusive of sugar export duty is estimated at Rs.13,025,000 as against Rs.12,104,000 revised estimate for current financial year. By means of temporary surtax of 10 per cent, on Customs and increase in tobacco duties I think another Rs.500,000 be realized, but on the other hand I am convinced that rum may excise revenue has been considerably over-estimated and doubt if total revenue for the year will exceed above estimate, leaving deficit of over Rs.1,500,000.

Special export duty on sugar under Ordinance 15 of 1929 would realize from Rs.650,000 to Rs.725,000 according to size of crop. As however this was remitted last year I cannot see how it can be justifiably enforced this year when situation is worse though Procureur-General and Acting Receiver-General hold a contrary opinion. Colonial Secretary agrees with me.

Such further economies as are practicable involve reorganization and there is no time to bring about. In view of forthcoming enquiry by Financial Commissioners I think it is not practicable to go further by way of revision of Budget pending their enquiry.

C. 84507/31 [No. 11].

SIR,

No. 28.

Letter from the Colonial Office to the Treasury. [Answered by No. 29.]

DOWNING STREET

13th May, 1931.

I am directed by Lord Passfield to refer to the letter from this Office of the 29th of April,† transmitting, to be laid before the Lords Commissioners of His Majesty's Treasury, a copy of a tele- gram: from the Governor of Mauritius on the subject of the draft Estimates of the Colony for the year ending 30th June, 1932,

✰ No. 27.

* No. 25. ↑ C. 84507/31 [No. 10]: not printed.

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