CO129-336 - Governor Nathan & Public Offices - 1906 [11-12] — Page 551

{

545

30971 T

(Re 22 AUG 06

Crom Agents to Colonial Secretary, Hong Kong.

Extract from letter dated 23rd February '06

30 D. Long Loki,

X

X

6.

X

I

X

I

bd

We propose that the whole of the monies received

from the Chinese Viceroy on account of his debt to the

Colony, whether in respect of interest or repayment of

capital, shall be remitted to as from the Colony and be paid

into a special fund to be under our control, and that this

fund shall be administered in the following manner

7.

(1) The payment of the interest remired for the Stock raised to provide the £1,100,000 to be the first charge on the fund.

(2) The ronies required for building the Colonial section of the Kowloon Canton Railway estimated to cost £500,000 to be provided out of the fund, the Coldy paying into the fund interest at the rate of ius public debt on the amount of al! sivarues made.

A

(3) All further munies renaming in the fund including the interest earned on luaning out ones in the fund to be considered as being earmarked towards paying uff the debt created to provide the 21,100,000.

If this proposal is ca vied into effect ve

estimate that there should be in the fund an April 1918 a

sun of about 2700,000 which could be applied towards liquid-

ating the Stock created to provide the £1,100,000 and this

sum together with the further sum of about £100,000 which

will have acorted in the Sinking Fund for the previous 18810 of Stock would enablethe debt of the Colony to be reduced in 1916 from abult £1,300,000 to about £700,000 by means of a conversion operation or by the issue of a new loan as the circumstances of the case may prove to be desirable when the

time a rives.

X

X

X

-1-

X