CO129-544-8 Adjustment of exchange account 1-6-1933 - 31-7-1933 — Page 8

CO129 Colonial Office Hong Kong Records 理藩院香港檔案 All

C. O.

Mr.

Mr.

Mr.

Mr. Parkinson.

M. Tomlinson.

Sir C. Bottomley.

Sir J. Shuckburgh.

Permt. U.S. of S.

Parly. U.S. of S.

Secretary of State.

DRAFT.

4. I therefore approve of

your exercising your judgment in

deciding on any individual

occasion what is the best course

to take in the public interest of

the Colony.

I have, etc.

(Sgd.) P. CUNLIFFE-LISTER.

8

Page

Page

No. 319

CEIVED

5-JUL 1933

GOVERNMent houSE.

HONG KONG, 1st June, 1933.

C. O. REGY

9

Encl.1.

Encl.2.

Sir,

47207/25

With reference to Mr. Amery's despatch No.431 of

the 26th November, 1925, on the subject of the Adjustment of

Exchange Account, I have the honour to forward for your

consideration the accompanying copy of correspondence, between

the Auditor and the Director of Colonial Audit, regarding a

forward contract for a total remittance of £200,000, entered

into by this Government on the 26th September, 1931, with the

Hong Kong & Shanghai Banking Corporation.

2.

The view of this Government is set out in the

enclosed memorandum by the Colonial Treasurer, with which I

am in agreement.

3.

I discussed the question of this contract at the time with the Colonial Treasurer and Colonial Secretary, and, having

regard to the difficulties which had been encountered in

balancing our Budgets owing to the serious fluctuations of the

dollar I was definitely of opinion that we should take advantage of a marked appreciation of the dollar to safeguard the future to some extent and so ensure that in regard to our sterling commitments in 1932 we should not find ourselves seriously

embarrassed by a possible further fall in the dollar. with the Colonial Treasurer in holding that the charge of

speculation in this case is untenable. Indeed I consider that it would have been more speculative not to have taken advantage

I agree

THE RIGHT HONOURABLE

SIR P. CUNLIFFE-LISTER, G.B.E., M.C., M.P.,

&c.,

&C.

&c.,

of

age 9

age 9

Page

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