54226/6/49
The Church flouse,
38
Great smith Street, London, &.w.l.
Leptember, 1949.
22 SEP 199
1.
ussell súmunde,
You spoke to me some tize ago about the report of the Ministry of Transport'a representative in Hong Kong, on the question of claims in respect of ships requisitioned and/or 'denied' prior to the Japanese. occupation of the Colony. Now that our despatch of the 30th my to the Federation on the general question of denial has been agreed, we must inform Hong Kong of the line we propose to take in respect of these particular claims in liong Kong.
2.
In selaya, if the procedure suggested in our despaten of the 30th day can in fact be carried out, the majority of 'denial' elais should be dealt with under the bar Draege Compensation scheme, In Hong Kong however, as there is no war baasje Compensation scheme the alternatives are either full compensation payable under the Defence (Compensation) Regulations in respect of proved legal liability of Government (whether Hong Kong or lis kajesty's Governŭent), or on the other hand, no compenestion at all. These two extremes of one hundred per cent or nothing increase the difficulty of dealing with the problem, se there is no method by which claimants can be persuaded, if they are in any doubt me to tue lepel aspect of their claim, to for; o
DuBEL #.5. RUGWSDL KOMUNDO,
TREASURY.
/pursuing
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