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and this crippled business for many months, although merchants found devious means of passing into consumption goods which were eagerly desired by the generality of the people. The British Government granted a trade loan of £3,000,000 to help merchants through this period of difficulty, but the whole sum was not required about £1,800,000 was borrowed. After negotiations, often abortive on account of the inability of the new Government to control agitators, a settlement was finally reached on the 10th October, 1926. Mean- while civil war between the North and South of China reached a crisis, cul- minating in military successes achieved by the South (assisted by Russian ex- perts.) Hankow was occupied by the Nationalists early in September 1926, and an intensive anti-foreign, and particularly, anti-British agitation fol- lowed, the main object being to concentrate public attention on the foreigners as the cause of China's troubles and to divert public indignation from the real cause the military factions. Though the policy of the British Govern- ment at this time, directed by Sir Austen Chamberlain, was that of "the con- ciliatory gesture," as manifested in the relinguishment of the Hankow Con- cession-so violent was the disorder throughout the country that the moderate policy had unwillingly to be accompanied by the despatch of the Shanghai Defence Force of four brigades. In obedience to the counsels of the Labour Party in Britain, Hong Kong was requested to find accommodation, if pos sible for the whole of the Force, in order that its presence in Shanghai might not inflame Chinese feeling.

feeling. However, after investigation, it was reported that not more than half the force could be accommodated in the Colony and a considerable section accordingly completed the journey to Shanghai. This proved fortunate, for the soldiers were just in the time to prevent Shanghai experiencing the looting and outrages which were the fate of Nanking a few days after the fall of Shanghai (March 21, 1927). In Hong Kong troops were accommodated in the Peninsula Hotel (then party built) and in other build- ings; also in a hutment camp hastily constructed on Shamshuipo Reclamation. Subsequently the strength of the garrison remained at two European battalions instead of one.

The unrest and lawlessness in China were reflected in the great number of piracies which occurred in Chinese waters during the decade. These usually took the form of risings against the ships' officers by pirates who embarked as passengers and made a surprise attack. Some of them presented unusual and exciting features. The Sunday excursion steamer Sui An, returning. from Macao, was taken to Bias Bay on November 19, 1922. There were at least 20 other piracies that year. The story of the Sunning piracy (November 15, 1926) will long be remembered in the China Seas. After a desperate fight the ship was recaptured by her officers. In revenge the pirates set the vessel on fire before leaving her. Eleven pirates were killed and several of the officers wounded. On October 16, 1927, the s.s. Irene was pirated by passengers and sunk by Naval action against the pirates. In that year a Naval raid was made on the pirates lair at Bias Bay, several houses being destroyed as punish- ment for piracies. In October, 1928, the s.s. Anking was pirated between Singapore and Amoy when the officers were wounded or killed. In September 1929 came the pirating of the Deli Maru, a novel feature being that the pirates were led by a young and attractive woman. The next piracy to stir the public mind was that of the Hai Ching in December, 1929. The ship was set on fire by the pirates in the course of a long fight with the officers, and the whole bridge was burnt away. There were 14 killed, 35 injured and over 60 persons missing when the vessel was brought into Hong Kong.

It will be sufficient to mention briefly some of the other principal events. of the decade. In 1921 the Hong Kong War Memorial Cross was unveiled, and Captain (afterwards Admiral) E.R.G.R. Evans distinguished himself in rescue work when the s.s. Hong Moh went ashore on the Lammocks. On April

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