Saving.
Oft.
on 54126/4/49
From the Secretary of State for the Colonies.
53687/49
To the Officer Administering the Government of
FONG KONG
Dat.
16 August, 1949
No.
778 Saving.
CONFIDENTIAL
31
10.
1949.
Your Confidential Saving No. 490 of the 20th June,
Loans.
1. I now agree that for future local loans you may arrange for the issue of bearer bonds, to residents of Hong Kong and the Scheduled Territories only, and with the condition that interest and redemption payments will be made only to residents of Hong Kong and the Scheduled Territories or to persons who were so resident at the time they subscribed for or purchased the bonds. This condition will have to be included in the loan prospectus and inscribed on the face of the bonds.
2.
There is still some risk, apart from the possibility that charges of discrimination may be brought, that Americans may buy bearer bonds and claim repayment in the United States in their own currency; but in the circumstances I agree that this risk should be taken.
3.
You will doubtless inform me in advance of any proposal to issue a further instalment of the $150 millions loan.
SECER.
No comments yet.
Private notes are available after approval.