TNAG-0448-FCO40-513-Sterling-assets-and-balance-of-payments-of-Hong-Kong-1974 — Page 133

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AND WE

OUNDS STERLING 5 MILLION ESTIMATED IN OUR TELEGRAM 375. COULD NOT KNOW THEN THAT THE MARKET WAS GOING TO FALL AGAIN DURING THAT DAY.

9.

I REALLY DO BELIEVE THAT WE HAVE HONOURED OUR OBLIGATIONS UNDER THE GUARANTEE AND, ACCORDINGLY, I DO NOT SEE HOW WE CAN POSSIBLY

IN OTHER ACCEPT THE PROPOSAL IN PARAGRAPH 2 OF YOUR TELEGRAM 314. WORDS, I THINK WE ARE ENTITLED TO COMPENSATION BASED ON OUR OPENING POSITION OF POUNDS STERLING 313 MILLION OR THE MARKET VALUE OF OUR STERLING HOLDINGS AT THE END OF MARCH, WHICHEVER IS THE LOWER.

MACLEHOSE

ORWELL DISTRIBUTION

FRD

HKIOD

SIR D WATSON

MR YOUDE

:

[ADVANCE COPY SENT TO TREASURY]

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