CO129-539-13 Proposed transfer of Government Wireless Service to Imperial and International Communications Ltd. 11-4-1932 - 17-6-1933 — Page 38

original

or

92849/32 Barber

46

22

x to 2

only.

TELEGRAM from the Secretary of State for the Coloniee to the Governors of Hong Kong and the Straite Settlements.

18:

(Sent 3.0 p.m. 26th April, 1933)

Confidential

Secret.

Whole question of wireless services in Hong Kong

has now been considered by His Majesty's Covernment in the

Lalaya

United Kingdom.

His Majesty's Government recognise that establishment of high power wireless station was an important feature of proposal for transfer of services to Imperial and International Communi cation Limited. As the Company is unwilling, owing to present financial situation, to undertake erection of this station at present, I am prepared to acquiesce in your propos al that nepotiations for transfer should be broken off, at any rate until the Company is in a position to carry out the original scheme.

Meantime His Majesty's Government are prepared to consider favourably proposals for provision of additional services by 'Goverment of Hong Kong

for development of existing

Straits Settlemente

services but on strict understanding that action is consistent with policy of co-operation laid down in paragraph 44 of Report of Imperial Wireless and Cable Conference 1928. While colony should be free to develop services which are necessary for its commercial requirements no service should be stablished except where existing facilities are demonstrably inadequate nor any service

which by reason of rate cutting or diversion of traffic from Company's cables would be incompatible with principle of co- operation. (Establishment of wireless telephone services would not be inconsistent with this principle and would be favourably considered.*)

(Establishment