CO129-532-8 Proposed transfer of Government Wireless services in Hong Kong to Imperial and International Communications- Ltd.... 19-12-1930 - 19-4-1932 — Page 166

The Under Secretary of State Colonial Office.

Article 8.

170

Two.

As has been agreed in the case of Singapore, we suggest that this clause should be modified to provide that the Company shall not be required to open any service unless, having regard to the traffic available and the existing facilities, such a service is likely to be reasonably remunerative.

The term "radio-electric communication" should be substituted by "radiotelegraph communication".

Article 9.

We note the observation of the Postmaster General that Article 9 might be read as implying that the stations to be used in Great Britain for radiotelephonic communica- tion with Hong Kong would be provided by the Company, whereas it is the intention that such stations shall be provided by the General Post Office. At the same time we think it is necessary to make it clear that the radio- telegraphic and radiotelephonic service with Great Britain is to be conducted through Singapore and not direct.

We suggest, therefore, that this article should be revised on the following lines :

In particular the Company undertakes within a period of twenty-four months from the signature of this Agreement to provide maintain and operate stations in the Colony of Hong Kong giving :

(a) Efficient radiotelegraphic and radiotelephonic

service with Singapore ;

(b) Efficient radiotelegraphic service through

Singapore with Great Britain;

(c) Efficient radiotelephonic service through Singapore with such stations in Great Britain as shall before the commencement of the said period of two years have been designated for the purpose by His Majesty's Postmaster General for Great Britain ;

(a) Efficient radiotelegraph communicationwith all other places heretofore served by the Hong Kong radio services acquired by the Company.

Article 10.

In order to bring this Article into line with the second paragraph of Article 3, insert "or increases" after the word "reductions".

Article 11.

The addition in red ink implies that royalty will be payable in respect of the radiotelephonic services. We do not appreciate the reason for this and suggest that the reference to royalties should be deleted.