CO129-589-15 Crown leases 4-2-1941 - 3-12-1941 — Page 16

COPY,

Enclosure. No.3

HONG KONG GENERAL CHAMBER OF

Sir,

8th January, 1941.

15

4.

These ar obscussio

I have the honour to acknowledge receipt of your letter

(No.3886/1912), dated 29th October, 1940, forwarding a memoran-

dum by the Valuations & Resumptions Officer on the subject of

Crown Leases.

2. The only comment which the Chamber desires should be

transmitted to the Secretary of State with this document has

reference to paragraph 5 and the words "Government cannot be

held responsible for lack of knowledge or ignorance of the

principles of valuation on the part of such private valuers".

3. Private valuers, along with solicitors and accountants,

are familiar with the principles of valuation of leasehold

property, but they claim that pronouncements by Government

officials gave grounds for believing that leasehold law would

not be strictly applied: leases would be renewed, on expiry,

upon payment of an enhanced Crown rent.

There are two documents on the Chamber's file which bear out this conten-

tion.

The first is dated 12th September, 1938, and is written by a local solicitor. He explains that, in 1919, being then new to the Colony, he was studying the titles. He discussed with the senior members of his firm the question of renewal of leases approach- ing expiry and urged that prompt application should be made to the Government for renewals. He was told

that the question had been discussed with the then Colonial Secretary_who gave assurances that the Govern- ment would renew Crown leases without imposing onerous terms and that it was quite unnecessary to make any application until the leases were nearly terminated. It was thought unnecessary to get that assurance in writing.

5.

The other document is a comment upon the Valuations &

Resumptions Officer's memorandum now under notice. It is com-

The Honourable

The Colonial Secretary,

HONG KONG.