CO129-622-3 War damage compensation- requisitioned railway stores and materials 19-1-1948 - 31-12-1948 — Page 45

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counter-claims between the War Office and the

Hong Kong

Chinese Government. On the other hand there

seems no reason why this particular/cl.

against the War Office should not now be dealt

with apart from the War Office Chinese claims.

-

You will appreciate that it places us in a

difficult position when the Governor complains

that the claim was first submitted to us in

April, 1947, and that there is still no signi

of a settlement.

>

There are many cases where Hong Kong

contends that certain categories of expenditure

arising out of the war should be met by H.M.G.

but in view of the terms of the financial

settlement we have stood firm against acceptance

of any such liabilit

The Governor's task

when he has to defend H.M.G.'s attitude in

this matter is made more difficult if he

also has to defend H.M.G.'s delay in settling

claims for which liability is admitted.

We should, therefore, be very grateful if you

could use your influence to expedite the

settlement of the particular claim now in

question.

Yours sincerely,

H. PALMER