CO129-606-5 Hong Kong Loan- Financial settlement 2-3-1948 - 4-10-1948 — Page 122

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"denial" claims whether there was prior requisitioning

or not is primarily one for the Hong Kong Government to

decide. I fear, however, that I cannot accept the

wording in your telegram "and since the Service

Departments were concerned negotiations are

proceeding with those Departments with a view to

their meeting those claims",

meetingke

far beyond

the terms.

is

That phrase goes

paragraphs 3 and

of my

dealing with (i);

telegram No.533 and I must ask that in your reply

to the questions in the Legislative Douner (you should

Chose paragraphs.

adhere to the terms of t

7. I am glad to know that you now hope that the

as a whole

settlement/may be welcomed by unofficial members and

t/may

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I trust that this position will still be maintained in

spite of any change in your proposed replies as a result

of the comments in this telegram. It is clear from

the figures of revenue surplus giv en in your telegram that the Colony should with the assistance already

given by H.M.G. find no insuperable difficulty

is presenting this in meeting its various liabilities and Lovat again

eriterment & amoffical ments I must stoom ack you again stress that this fortunate position would by no

STRESS

listress to them

the vast expenditure

and losses borne by the U.K. Government to which reference

was made in paragraph 6 of my telegram No.533.

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