Item 17 - Copy of a telegram from Lord Chelmsford to Edwin Montagu

There are objections to recovering the cost of compensation for losses in the disturbances by direct taxation. Reductions of the original assessments have been made, and arrangements for recovery can probably be made in Lahore, Gujrunwala, and Kasur. In the case of Amritsar the Municipality have agreed to meet all claims from indirect taxation, but as this would involve serious delay it is proposed that Local Government should make payments which cannot be delayed from its own funds.

(Mechanical copy of typed original.)