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they left to take up their passengers on their outward voyage. This really at the most, can only be regarded as two shift, and in view of the very small margin of time required to discharge their passengers and take them on, the extra time under steam is infinitesimal.

The matter of berths and times of departure is a subject of detail. There is one point, however, which is of great importance. In sounding the Government before put- ting forward the plan, so far as my memory serves, I was told not to embody any regula- tions with regard to cargo as the Government were not prepared to deal with same, so that it was with considerable surprise that I find one of the many differences between my scheme and that put forward by Mr. Duncan was that he considered the searching of cargo as important as the searching of passengers. I am not, of course, overlooking the fact that Mr. Duncan provides for more wharves and of a different type. With all due deference I would say, however, that the general and efficient searching of cargo arriving into the Colony is an utter impossibility and no possible good could result of searching say at West Point, unless the Government are perpared to provide adequate searching facilities for the hundreds of thousands of tons handled on the large establishments on the Kowloon side. As a matter of fact, it is generally thought that the import of arms is greater by ocean carriers than local vessels.

Again the question of dealing with cargo makes a prohibited area impossible, and it is this prohibited area, such as shown on the plan, which is the main feature of the Depot Scheme, providing as it does complete immunity from connection with cargo boats, sampans and other native craft notorious for smuggling and from which suspicious charac- ters would undoubtedly embark and leave vessels at the Depot. In fact, without such pro- hibited area, I do not consider the scheme effective.

It must, of course, be borne in mind that piracy has recently been committed on vessels bound for this port as well as vessels which have left. We have for some time past considered that pirates make a point of travelling several times on ships on which they have designs and this has been confirmed in evidence in the "SUNNING" case and a close inspection inward and outward would be an undoubted deterrent to them.

The inward examination so far has only been touched upon as far as River Traffic is concerned, but I can see no good reason why the Coast Steamers should not, if necessary, go to the Depot, although I do not think this absolutely necessary. As an alternative I would suggest that as an adjunct to the Depot, passenger tenders be used. These would be boats not unlike the present "Star" ferries and besides being available for Depot work, they would no doubt be a valuable acquisition to the new ferry services which are under consideration. The general procedure would be for coast boats to arrive, hoist the neces- sary flag and passengers would not be allowed to leave except by the Depot Passenger tender.

As a greater convenience and to obviate unnecessary movement of passengers, a smaller depot might be erected at a suitable position on the Kowloon side. In making recommendations on the point I consider that I need not touch upon the question of expense except to say that arrangements could no doubt be made for steamship companies to make a surcharge on passage tickets so that the depot, up to a point, would be self-sup- porting. In any case, it may be said that the expense is insignificant when it is generally understood that the complete Harbour Improvements scheme entails an expenditure of between eight to ten million Sterling.

It must be remembered that Chinese Officials both North and South are extremely exercised with regard to the ravages of pirates and to the existing state of brigandage and lawlessness, particularly as it is affecting trade to such a serious extent that the funds from taxation are greatly diminished.

There is an undoubted desire on the part of the better thinking Chinese to improve the conditions of travel and to ensure greater safety of transit of goods.

The ideal arrangement would be for passengers to go through a depot at all ports of embarkation in a similar way to what I am suggesting for Hong Kong, and it would be fitting that the Crown Colony should set the example for China Ports where it is not un- likely the Authorities with the assistance of the Consul and Customs Authorities would fall into line in the general improvement for the safety of the travelling public.

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