TNAG-0063-FCO40-99-Defence-extra-costs-arising-from-the-internal-security-situa-1968 — Page 100

SECRET 4

COLONIAL SECRETARIAT, HONG KONG.

1st September, 1967.

AIR MAIL

Nha Hall 4/4 Me. Carter

ستسقا

My dear Certhin

I shall be in London on 14th and 15th September on my way to the Commonwealth Finance Ministers' Conference in Trinidad, and there is one subject I should like to discuss with the appropriate authorities in Whitehall while I am there.

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There have been some indirect indications that H.M.G. may be considering making us pay, over and above our newly, and very substantially, increased Defence Contribution, for certain facilities, personnel, etc. which the Services have provided in connexion with our present situation. We have been told that orders

have gone out that the Services must keep an exact tally of all they do for us and of its cost. There have been broad hints, for example, that we are going to be charged for the hospitalisation of wounded Policemen in the new British Military Hospital, which was built with our money and to the recurrent costs of which we make a very substantial contribution.

You will have seen, too, the problem of the new Border fence which we have raised in the last paragraph of our telegram 3120.

It does not seem to us possible that H.M.G. are, in fact, contemplating charging us for this kind of thing. If they are not, then the matter need go no further. If, however, they are, H.E. would like me to discuss the problem with those in authority in London and try to arrive at some agreement as to the basis on which H.M.G. claims may be dealt with.

I wonder if it would be possible to arrange such

a meeting on either 14th or 15th September.

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(J.J. Cowperthwaite)

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Sir Arthur Galsworthy, K.C.M.G.,

Conwealth Office,

London, S.W.1.