CO129-587-8 Crown leases 18-4-1940 - 17-3-1941 — Page 16

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its renewal on similar terms to those to be

granted to holders of 75 year renewable

leases under the terms of Mr. Joseph

Chamberlain's despatch No.132 of the 23rd of

Lecord

May, 1898. ad Accordingly, that the Government

of Hong Kong is fully within its legal rights

in demanding payment of a premium as well as

an increased Crown rent for the renewal of the

former leases.

3.

At the same time, I share your

opinion, as stated in paragraph 5 of Mr. Smith's

despatch, that the claim of a tenant, who has faithfully

dischayne his contrac ct duty to favourable treatment

should not be disregarded; and I

do not think

that the Government should insist on th

dorians

strict legal right:

kin reversionary interest,

in the case of a tenant who hasti

the conditions

of his lease.

ond

* fulfilled

in respect of the

The question

4.

Cousiduatio

fraur

On the

therefore, to de

tolâ ecided is the forme

reversionary interest of the Government

revers

posk a175

of a 75 year lease.

It is

clear from the report of the Special Committee of the

General Committee of the Chamber of Commerce, that

the greater part of the tenants concerned would have the

strongest objection to the payment of a premium as

such.

I note, however, from Mr. Butters memorandum

enclosed

and extent of the