72
of exchange would come to $429,000. Even if the Colony had to pay up the whole of the guarantee she would I feel sure recoup herself as I have indicated by the sale of land in connection with the Railway.
10.
If such guarantee were given it would of course be necessary to make stipulations for the repayment of any interest paid by this Government during the limited period of the guarantee out of surplus profits in the future over and above interest say at 3%, and also for the reversion of such portion of the line as is constructed in the Colony to the Colonial Government on payment of the difference between the amount paid under the guarantee and the cost of construction of such portion of the line.
11.
It is doubtful whether the guarantee for 5 years would be of much assistance to the Corporation in floating a loan for the construction of the Railway. In such case I venture to suggest that it would be to the advantage of the Imperial Government to likewise guarantee the line for the further period of 5 years. Or, a Colonial guarantee of 10 years backed by the Imperial Government might be given, it being understood that for the first 5 years the guarantee be paid by the Colony.
I have the honour to be,
Sir
Your most obedient
Humble servant,
Acting Officer
19
Administering the Government.
Thu
72
of exchange would come to $429,000. Even if the Colony had to
pay up the whole of the guarantee she would I feel sure re-
coup herself as I have indicated by the sale of land in con-
nection with the Railway.
10.
If such guarantee were given it would of
course be necessary to make stipulations for the repayment of
any interest paid by this Government during the limited period
of the guarantee out of surplus profits in the future over
and above interest say at 37, and also for the reversion of
such portion of the line as is constructed in the Colony to
the Colonial Government on payment of the difference between
the amount paid under the guarantee and the cost of construction
of such portion of the line.
11.
It is doubtful whether the guarantee for
5 years would be of much assistance to the Corporation in
floating a loan for the construction of the Railway. In such
case I venture to suggest that it would be to the advantage
of the Imperial Government to likewise guarantee the line for
the further period of 5 years. Or, a Colonial guarantee of
10 years backed by the Imperial Government might be given, it
being understood that for the first 5 years the guarantee
be paid by the Colony.
I have the honour to be,
Sir
Your most obedient
Humble servant,
Amaz
Officer
19
Administering the Goverment.
Thu
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