CO129-622-1 War damage compensation- U.S.S.R. claims 25-5-1948 - 22-1-1949 — Page 102

No.

(26/5061/47)

103 End

COLONIAL SECRETARIAT,

LOWER ALBERT ROAD

HONG KONG

25. the

May, 1948.

Dear Sidebotham,

Please refer to Secretary of State's P/L despatch 277/55136/24/47) of 2nd September, 1947, transmitting correspondence with the Foreign Office on the subject of expenses incurred in keeping watchmen on board wrecked Soviet vessels in Hong Kong harbour.

2.

We should be grateful to know what the Embassy in Moscow have been able to do in recovering some of the expenses from the Soviet Govern- ment.

3.

If nothing has yet been done, we feel that the time may now have come to take some firmer action. This Government is continuing to incur considerable expense in respect of the vessel s.s. "Swirstroy", with little prospect of getting the money back.

4.

The two wrecks are deteriorating fast, and despite the presence of watchmen, stuff is being removed. If we go on much longer there will be nothing left for either side. The two wrecks are scrap value only, and we feel that they should be sold by public tender " as and where lies" as soon as possible. If you agree to this course, we should like the proposal put to the Soviet Authorities as soon as possible. The money resulting from the sale could be placed in deposit pending agreement with the Soviet Authorities, but we would deduct our charges to date. These charges at present are:

Up to 31/12/46

For 1947

SWIRSTROY SIMFEROPOL

2,714

1,362

4,076

SWIRSTROY @ $332 per month

3,984

8,060

for 1948

SWIRSTROY first three months

336.80

327.20

354.80

1,018.80

encl.

(see 512)

1/9/45 to 31/5/46 SERGI LASO

1,018.80

9,078.80

1,362

$10,440.80

47 for.

TOTAL

5.

We do not know what the Soviet Government have done in respect of British merchant ships sunk in Soviet territorial waters, e.g. near Murmansk and Archangel, during the war, but it seems to us that whatever procedure the Russians adopt should be applied in respect of the wrecks of Soviet ships lying in Hong Kong.

J.B. Sidebotham, Esq., C.M.G.,

Colonial Office,

The Church House,

Great Smith Street, LONDON. S.W.1.

Yours sincerely,

mtm.

м.