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and was greatly appreciated by the men. I entered the main exchange the morning war was declared and never left it until the Japanese walked in. The engineers outside carried on similarly but they were under heavy fire the whole time. Although I have been free, I have lost nearly 401bs in weight in less than twelve months, most likely due to lack of a balanced det; therefore, I have considerable misgivings respecting the state of the health of persons in the Interment Camps.

When British authority was temporary shattered, a far- reaching and corresponding upheaval, no less complete and perhaps more far-reaching occured in the structure of the entire economic life of the territory occupied by the enemy. Firstly, shop-keepers would not accept, in payment of purcheses, Hong Kong Bank notes of high denomination, as the Japanese would not receive them. All goods had to be paid for in HK. ten dollar notes. I had a number of 500 dollar notes and could only obtain 295 K for each note at the Money-changer (Black Market).

7

On the 24th July 1942, the Japanese occupying Hong Kong, issued a decree over night stating that in future 4HK would equal 1 Military Yen. The result was the closing up of shops and when they re-opened some five days later for business, they had changed their prices from Hong Kong dollars to Military Yen. They would still do business in Hong Kong dollars but at the government rate of 4 to 1.

Quite apart from this extortions, the cost of living in Hong Kong had reached an unprecented high level, as the majority of the large stocks were seized by Japanese, resulting in a corresponding increase in shop prices, which were always on the upward tread. Neutrals and Chinese, who were gratefully permitted to draw some of their own money from the banks, were paid out in 500 HK. notes and, as they required the money for food, had to accept a loss of HK$205 on each note changed.

In Hong Kong my family consisted of five persons and, towards the end of my sojourn there, I was spending HKS 1,600 per month equalling Military Yen 400. This figure was spent on food alone. I am aware that many people had to live on much less but many Europeans who did so got beriberi, but none of my family did. In the case of some Europeans, we had to club together in order to present them with a more suitable diet.

During the last twelve months I have had throat trouble; dengue fever; and bronchitis so I am hoping to recuperate in Macau. With this purpose in view, I made representations to you through the British Consul in Macau asking if you could see your way to kindly grant me a salary. I have not received any salary since November 1941, which salary, efter deducting certain money normally retained by the Company was £84 per month; assuming 16 dollars to the pound. I wish to state there is little difference between the cost of living of Hong Kong and Macau. Banks here appear to have fixed the rate of the pound on drafts @ 15 to the pound.

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