CO129-539-13 Proposed transfer of Government Wireless Service to Imperial and International Communications Ltd. 11-4-1932 - 17-6-1933 — Page 45

29

for the Colonies' needs and such a service would be contrary to the

agreements reached at the Imperial Cable Conference.

The question

of wireless telephony to Shanghai was somewhat different, and there was

no objection to developing this service which would be of considerable

help to the commercial community. If Hong Kong were allowed to

develop this service they might be satisfied without pressing for the

direct wireless service with Japan.

AIR COMMODORE WARRINGTON-MOLIS suggested that they might be informed that they could develop as many telephonic services as they desired but no telegraphic services which would cut in to existing

cable services.

SIR PHILIP CUNLIFFE-LISTER said he was quite clear in his own

mind that in allowing them to develop their services that they should

provide for the commercial needs of the Colony but should as far as

possible avoid competing with Imperial and International Communication s.

CAPTAIN MURRAY suggested that the despatch should be so worded as to refer to "the needs of the commercial community" as opposed to "the

commercial requirements" of the Colony.

MR. PHILLIPS said that the question of possible transfer to the Communications Company at a later date would have to be inserted in the despatch.

SIR PHILIP CUNLIFFE LISTER said that in regard to the direct

Hong Kong-Japan wireless service, if the Colony still insisted that they needed this service the matter would undoubtedly have to be referred to

the Cabinet.

MR. VERNON observed that the Colonial Office would have to inform

the Company that negotiations had been broken off.

17.