CO129-560-18 Bank balances- six monthly returns of deposits 12-1-1937 - 27-5-1938 — Page 3

3

5.

you 42

24.1.38

31.12.34

8. Baine

"Trs. statement for six months ended

6. singibate fo

24.1.38.

Inquires whether rettion may be

discontinued

See 2 on 72156/30

Straits

See 13 on above file

See 6 on 84558/31

Mauritius

Mr. Caine asks if the periodical

returns furnished by the Colonial Government

of amounts deposited with the local banks may

now be discontinued. There was formerly a

limit on the amount which the Colonial

Government were allowed to deposit with local

banks, but in 1930 the Secretary of State

agreed that the limit of such balances should

be abolished in the Straits Settlements, and

in 1931, that it should be abolished in Hong

Kong. It does not appear that the limit has

ever been abolished in Mauritius, but

circumstances are different there, and a

particular amounts are deposited by the

Colonial Government with the Commercial Bank,

which is a very much more unstable concern

than any of the banks with which the Straits

Settlements and Hong Kong Governments are

concerned.

There does not seem to be any great

advantage in the furnishing of these returns.

No action ever appears to be taken on them, and

I suggest that we may well agree to their

discontinuance. As, however, the Crown Agents

were concerned in the change made in 1931, it

might perhaps be as well to consult them

before doing so, and I suggest that we might

send a copy of Mr. Caine's letter to

Mr. Ransom, Crown Agents, by semi-official

letter, referring to the correspondence in

1931,