CO129-358 - Governor Sir Lugard - 1909 [10-11] — Page 453

...

#neze

from text. Sex!

450

aggregated contribution from the Colonial Government over

the original price paid. In addition to this the War De-

-partment will obtain the proceeds of the sale of the lot,

should they decide to surrender it. The whole transaction

appears, therefore, to be exceedingly profitable to the

Military Authorities, and so far from there being a

diminution of the permanent defence fund, there will be an

increase of the fund by a capital sum of £29,560 and the

interest thereon. This sum should strictly speaking have

been entered in the Military Lands Account to the credit of

the Colony: but in my previous Despatch I agreed to credit

the War Department with the full sum of £7,650 (being the

value of the capitalized rent for the 51 years during which

the land has been in Military occupation), provided that

the same sum was credited to the Colony by the War Depart-

-ment. The effect of this offer was, therefore, to make

£29,560

the Military Authorities a donation of 607442 in addition

to rent free occupation of the lot which they have enjoyed

for 51 years: and in such circumstances I cannot regard as

reasonable the demand of the Army Council for a further

credit of capitalized Crown Rent for a term of years after

they