See Chan Pui

evidence.

185 (6)

12. Although the Meetings of the Commission were held in camera, the only means by which such an enquiry could be satisfactorily prosecuted in such a Community as this, it was soon apparent that as regards the proceedings of the Commission, secrecy had not been maintained.

13. We had reason to believe that certain contractors and others, having dealings with the Members of the Sanitary Department, were destroying or altering their books, and taking other measures to prevent the Commission from finding out the exact extent to which irregularities had been carried.

14. In June therefore, the Commissioners turned their attention to this question.

15. A large number of Chinese witnesses were summoned without warning to appear before the Commission and to produce their books.

16. The result was far from satisfactory. A number of the firns failed to produce their proper books, although it is evident that such books must have been kept, this being the invariable custom among Chinese business men.

17. Some witnesses left the Colony. In many cases though books of sorts were produced, it was clear that these were subsidiary rather than the proper books of the firm, which had disappeared or been tampered with.

18. It has been stated that this was in a measure due to suggestions made & Chan Chan by certain of the Sanitary Staff who had been involved in irregular transactions, Pages 380/2, while evidence has been adduced that at least one of the Sanitary Inspectors 468/80,481/98. attempted to persuade a certain witness to leave Hongkong, and in another

instance did actually by threats of violence drive a second from the Colony.

See Wu Iu Nam's evidence. Page 1295. Chan Wei Bing's evidence. Page 1298.

Appendix No. I.

Open Spaces.

19. Among those books produced were some belonging to certain firms holding Government contracts, which clearly shewed that payments, in many cases of considerable amount, had been regularly made to Sanitary Inspectors and other Officials. The correctness of these entries have been sworn to by members of the native firms interested.

20. The Commissioners cannot but consider that they are justified in believing there was some similar reason for the non-production of the necessary books by the firms already referred to

21. Evidence which in many cases appeared to implicate individual employés of the Government, having come to the knowledge of the Com- missioners, these cases were investigated by them so far as possible and where a prima facie case appeared to have been established, the evidence bearing on that: case was at once forwarded to the Government, as it appeared desirable this should be done, rather than all these matters should be kept in abeyance until our final Report had been submitted to Your Excellency.

22. Turning now to the terms of the Commission, the Commissioners in the first place would state that their enquiries into the working of the Ordinance all point to the conclusion, viz., that the Administration of the Sanitary and Building Regulations as carried out under the existing Ordinances is most unsatisfactory, both in the Administration and in many of their regulations.

23. In order to fully explain what appear to be the drawbacks in the regulations and the failure in administration, the Commissioners have decided to deal in detail with certain sections of the Ordinances, pointing out where hardship exists, the causes for complaint, and the resultant injury done to property and consequently the general prosperity of the Colony..

24. We then deal with the alterations which appear desirable in order to render the working of the Ordinances more efficacious, and at the same time less harassing and onerous to the community.

25. Of all the drastic sections of a very drastic Ordinance, section. 175 Section 175. probably affects property owners more seriously than any other. It is defective in the fundamental principles of equity inasmuch as it sacrifices vestetl rights

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