CO129-617-3 New American Consulate building- proposed site 28-3-1947 - 4-10-1947 — Page 19

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Your Reference

Treasury Reference.. O.F. 110/59/3

Dear Mayle,

(4)

TREASURY CHAMBERS,

GREAT GEORGE STREET,

LONDON, S.W.1.

18 th June, 1947.

Thank you for your letter of 6th June about the proposed American Consulate building on Hong Kong island. We agree that this would come within the scope of paragraph 6 of the Joint Statement, and that the liability is for H.M.G.

The procedure to be followed in these cases has been agreed with the U.S. Government. We shall at their request pay sterling into a special U.S. account in London, and they will themselves pay for the land, etc., which they propose to acquire.

I have consulted Serpell on the proposed terms of sale, and we agree that you should proceed as suggested in the third paragraph of your letter.

I assume that the prices quoted in the Governor's Savingram are in Hong Kong, not U.S. dollars.

I am copying this to Logan.

N. L. Mayle, Esq.,

Colonial Office.

Yours sincerely,

19 JUN 1947

C. O. REQY