CO129-506-8 Prevention of piracy- use of armed patrol launches in Canton Delta 12-1-1927 - 28-3-1927 — Page 17

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expenses should be shared equally by the Navy and the Colony.

As regards insurance explanatory correspondence is

5.

attached.

At the present value of the vessels the total sum

involved is about £120 a year, to be shared by the Admiralty and Hongkong Government. I have an open mind about the desirability

of effecting this insurance but as the amount is small and the

Colonial Government are desirous of doing so, I think it would

be preferable to fall in with their suggestion.

6. Possibly matters may have improved by the time the

report called for by Admiralty telegram 213, 10th November, is due, but I think the chance of any permanent change is so remote

that it would be advisable to enter at once into renewal of the

Charters for the period of twelve months, the date the Colonial Government contribution is to commence being arranged locally

as soon as Their Lordships' decision on this matter is

communicated.

7.

In order to obtain satisfactory terms for renewal of the Charters an early reply is very desirable.

(Sgd.) E.S.Alexander Sinclair.

Admiral, Commander-in-Chief.