CO129-539-12 Loans for public works- military finances 26-2-1932 - 7-3-1933 — Page 14

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contribution, to which reference is made at the end of the seventh paragraph of your letter is also accepted.

As regards the water-works loan charges, 1

am to request you to inform the Army Council that the

Secretary of State is willing to withdraw the claim

that the waterworks in the New Territories should be

regarded as a new productive enterprise.

I am to add that the Governor of Hong Kong will be requested to submit the draft of any proposed legislation to amend the Military Contribution Ordinance and that the Army Council will be given the opportunity of considering any such draft legislation before its

introduction. It is not anticipated that the Ordinance

relating to the proposed new lown will be submitted to

the Secretary of State in draft, but when the Ordinance is received for the signification of Tis Eajesty's pleasure a copy will be sent to you to be laid before the Army Council for their consideration, before any

to decision is taken as the tendering of advice to lis

Majesty regarding non-disallowance of the Ordinance.

1 a

Sir,

'Your Host obedient servant,