CO129-606-4 Hong Kong Loan- government grant 1-4-1947 - 2-3-1948 — Page 105

INWARD TELEGRAM

Ory. 55081/22/47

Sode

FROM HONG KONG (Sir M. Young)

TO S. OF S. COLONIES,

BY BLANDING ARE VARA

D. 1st April, 1947.

R. 1st

#

15.00 hrs.

No.589

BREMANTLISLE KODULAETIZEM

1

110 END

Both on an carlier occasion and in the course of the budget debatc, I have been pressed by the unofficiel members for an assurance that none of the claims outstanding between this Government and H.M.Government relating to such matters as war-time expanses of Volunteers, coat of return passeges of persons repotriated after liberation, etc., should be fanelly settled without the ascent of the Legislative Council,

2 I am not altogether clear as to the position in regard to past payments in respect of such items which have been made in London, but local payments and any included in Grow Agents accounts have been chacsed to a suspenso account pending a final dedigion in regard to incidence of erround fures fooling då undoubtedly groving locally that it would be unjust to charge all these items to Hong Kong funds and this is particularly strong in regard to the two items mentioned above. Regard to passages, it is felt that an with few exceptions only Europeans benefited it is not right that the whole community should be asked to mest the bill. There is still a good deal of bitternoon over the 1940 evacuation and there is strong opposition to meeting the cost of return pessages of persons then evacuated from local funds,

3* In view of the representations mentioned in paragraph 1 above; I have given an undertaking that no transfers from suspense to stpenditure will be made in respect of any of the items now charged to suspense before the Legislative Council has been given an opportunity 60 discuss the matter.