CO129-539-13 Proposed transfer of Government Wireless Service to Imperial and International Communications Ltd. 11-4-1932 - 17-6-1933 — Page 67

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thereby making it a more profi table concern, the

question of valuation when turning over to the

Company would have to be worked out on a profit-

earning basis.

MR. ROBINSON observed that it was surely the

general policy that these communications should be

handed over to Imperial and International Communica-

tions, Limited, provided that Hong Kong did not lose

money thereby or obtain a worse service than at

present existing, and it appeared to him that they

were safeguarded in both the se respects.

MR. VERNON said that the draft agreement with

the Company had included the erection of a high

power station, but he thought it was generally agreed

insistence on

that/this was now out of the question. Apart from

the high power station, the Com any had throughout

shown willingness to provide the Colony's requirements.

COLONEL WILLAN asked whether it was not a fact

that a high power station in Hong Kong would communicate

with one in Singapore, and expressed doubt as to

whether the Singapore station was to be erected.

IR. VERNON suggested that the Company might be

told that the negotiations had been so protracted

that the Colony were to be allowed to develop their

own communications.

COLONEL WILLAN observed that the reverse

procedure might be adopted by telling the Colony

they might proceed with their scheme for extension

and development, provided that they put up the high

power station, in fact, using the argument which the

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