bo
5.4
6.
7.
alta" grant.
application for a
The question of H... meeting the cost of the return passages of ox internees and prisoners of war has, however, already
Scarlett'a
been taken up with you separaten, m6).
letter of 8th Fay, 1947 (55081/18/46).
I understand from Galsworthy that, in the light of our letter to him lio. IF.16/04 of the 25th July, he is now getting shond with the considera- tion of the general principles to be followed la the Far Eastern territories unler Treasury control in determining the allocation of new expenditure as between revenue and 0.9. & funds. The question is, however, rather complicated in relation to Hong Kong, and we are anxious not to hold up approval of the Satimates whilst this question is being sorted out. We therefore propose that our approval of the satimates should be given now,
but without prejudice to the ultimate decision on this particular question.
Dubject to any comments you may have, we accordingly propose to approve the Estimates on the understandings referred to in paragraph 3(a), 3(b) and 5 abovo, and with a reference to the reosaaity for raising additional revenue in the terms suggested in paragraph 2 above.
We are writing to you soparately on the question of Treasury control over Hong Kong finances for 137/8.
Yours sincerely,
(3. Palmer)
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