CO129-495 - Governor Sir Clementi - 1926 [11-12] — Page 356

Jan.26

E-CHSTARY,

TREASURY.

C.365/26.

sir,

313

Downing Street,

January, 1926.

With reference to the letter from this

Department of the 8th October, and to Treasury letter

No.5.27041 of the 21st October, on the subject of the

financial crisis in Hong Kong, I an directed by

Hr.Secretary Amery to transmit to you to be laid before

the Lords Commissioners of the Treasury, the

accompanying copy of a telegram dated the 4th January

from the Governor of Hong Kong.

2. It will be observed from the Governor'a

telegram that negotiations with the Canton Government

for the cessation of the boycott have ended in failure,

and that the financial situation in Hong Kong is in

consequence likely to become increasingly grave.

The Secretary of State had hoped that it would not be

necessary