HC Deb 22 July 1897 vol 51 cc710-1
MR. O'MALLEY

I beg to ask the Secretary to the Treasury, as representing the Postmaster General, if he will state what is the present position of the proposed mail service to Canada: what is the limit of time allowed the contractors to complete the proposed arrangements; and, whether they have deposited the amount (£20,000) necessary as a guarantee of good faith for the carrying out of the contract?

MR. CHAMBERLAIN

The contract has been approved by Her Majesty's Government and the Dominion Government, and ratified by the Dominion Parliament. Two steamers are to be ready to commence the service before May 31, 1899, and the remaining two not later than May 1, 1900. The contractors have agreed to deposit with the Minister of Finance, Canada, within 60 days of the notification of the approval of Her Majesty's Government, the sum of £10,000 sterling and a guarantee to the satisfaction of the Minister for a further sum of £10,000 as security for the performance of the contract. The period of 60 days has not yet fully elapsed, and Her Majesty's Government have not yet been informed that the deposit has been made.