CO129-622-1 War damage compensation- U.S.S.R. claims 25-5-1948 - 22-1-1949 — Page 43

54447/3/48.

Colonial Office,

The Church House,

Great Smith Street,

S.W.1.

15th November, 1948.

44.

17

1.

Thank you for your letter of the 2nd November 1948 about the Soviet steamships "Simferopol" and "Svirstroi" and for the cheque for £254.15.0. enclosed therein. We are arranging for this amount to be paid to the Hong Kong Government.

2. It is encouraging that the Soviet authorities have paid in full the amount claimed on account of these two vessels in the Note submitted to their Ministry of Foreign Affairs by the Embassy, MOSCOW on the 14th August, 1947, and it may be that a further simple request to them for payment of the expenses incurred by the Hong Kong Government on account of the "svirstroi" subsequent to the 31st December, 1946, would be similarly successful.

3. However, in all the circumstances, we think that the best course le still to ask the Russians to agree to the sale of the two wrecks by the Hong Kong Government and to the deduction of that Government's expenses from the proceeds, the balance of which will be placed in deposit pending a decision on the Soviet claim to compensation from the British War Risks Insurance. In communicating with the Russians it would perhaps be as well to include a statement of the expenses due to the Hong Kong Government on account of the "Svirstroi" for the period 1st January 1947 to 31st March 1946 viz. 83,984 plus g1,018.30,

R. A. RAE,ESU.

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