55136/90/4.6.
DM. 82/165/02.
Colonial office,
Sanctuary Buildings
Great Smith Street,
S. W.i.
23rd November, 1948.
39
Year Moberly,
Now that you have inherited Bancroft's worries, may I invoke your assistance in our attempt to settle a claim by the Tong Yong Govern ent against H...0.
When the gen rel financial settlement was arranged between His Majesty's Government and Hong Hong, H. .0. agresë to pay long long 31,000, 00 "to assist the Colony in resolving problems arising out of expenditure connected with the war." When the terms of the settlement v re accepted by Hong Kong, the Governor was under the Umprension thus certain cisims in respect of denial meacur s taken balore the Japanese occupied the Colony (chiefly the sinking or ships) would be accepted as a liability of the United #ingdom Pervice Departments. Hong Kong were informed that this was not nacess rily the case, and whether the United Kingdom Service Doper tuenta could accept liability could only
e shown efter examin tion of claims in the light of the existing practice or the respective Departments and of the facts in sach case. Certain preliminary ateps to carrying out each un ex:mination are now under con ideration, but it is inevitable that in any event a large number of claims will be rejected by the service Departments in which case any legal liability which exists in respect thereof will have to be met by the Hong Kong Government. The above mieun erstanding, with the likelihood of Hong Kong having to accept certain liabilities which she thought would be accepted by H. .C. bea considerably det: acted from the good effects in
MOPERLY,
Hong
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