CO129-491 - Public Offices - 1925 — Page 257

L

U

Sir G.Crindle.

I have discussed this matter with

Sir Otto Niemeyer, who informs me that the Chancellor of the Exchequer himself is very averse to guaranteeing this Loan and strongly holds the view that the Treasury should have been told in the first instance what we propose to do unless it was quite certain that we would not have to ask them ultimately for a guarantee. In the circumstances Sir Otto Niemeyer is very anxious that we should not press them to give the guarantee and he contends that it is quite a different case from the 10 million Loan for East Africa. Although he may view it in this light I doubt very much if the people in the Colony will do so! Anyhow before doing anything further will you please say if we have Information on the following points, and, if so,

what it is, viz:-

(A)

What is the total amount required

by the Governor of Hong Kong?

(b)

At what interest is he advancing

the money?

(c)

What arrangements, generally,

he made?

has

(a)

How much money has, up to date,

(e)

been put at his disposal and from

what sources?

The result of our enquiries as to what balance stood in the name of

the Hong Kong Government in the

Crown Agents' accounts?

61125

Sing Grundle 9.11.25

Li S. Wilson

Frist to

wait

249

auswer Ent. Wilson's questions.

(a) The Grounor first asked for £3,000,000

A

loan up t

but afterwards said that he

much less, owing to the

Тират

of confidence. A telepam from

Loped

ст

da

with

vatoration

16

hew

with

h

foremon purs in (49926) says that

just

im gold of

that he

want

alwot

immediably equivalent 5 million dollars (say £600,000) with purtally

Lollars (say £1,200,000)

He hopes that wo

Wault

/

want up & 10 mullion

by

the end

of the year.

additional one will be

but if boycott continues thate

conditions continue to get

worse the entire balave

of the £3,000,000 may be required early

be necessary

year wit

may

for further assistance.

(6) 4(9)

eve & ash

We know that the only

ú th

lent through for European Banks but we have

had no

auzwa

6

our ht. of 28 Sept

(48144) asking for furthin

once the

delait

which loan funds

G

Wt. so is

and be suffleed

through the Banks & Low affroved

sraviti

wo