10
THE CHINA MAIL THURSDAY,
1935
STRONG PROTEST AGAINST NEW TAXATION VOICED IN COUNCIL
Sir Henry Pollock's
Speech
(Continued from Page 1)
The Estimates contain little contentious matter, and it is fully realised that. in view of the.esti- mated revenue for 1936 being so much lower than that for 1935, it is essential that the Government should refrain from starting ex penditure on new Public Works of magnitude.
"At the same time we regret that many useful- Public Works, over 100 in number, in the list marked "considered but not in- cluded in the draft
estimatesTM
(with which the Government, kind-! y supplied us) have had to be! postponed owing to present finan- cial stress.
Excess Water Charges
The Hon. Sir Henry Pollock. Kt. K.C. Senior Unošcial Mem- ber of the Legislative Council. above. questioned the constitn- tionality of arrangements being
unbalance the Baiteet, is a palp able injustice to the taxpayers of this Colony.
“In such an event, as already stated, the Civil Servants ought solely to bear the burden of such fa drop, to the exclusion of the tax- payers, who have already been sufficiently mulcted.
"At this point somebody may Jaski-
아.
"Why do the Unofficial Members raise this protest just now, in- [stead of waiting for the contin-
gency to occur?"
"Our answer to that. Sir. is that we gather, from the above-quoted. passage in the Colonial Secre tary's speech, that the Government has already been in communica-
made over the heads of the Un-tion with the Secretary of State official Members with the Secre- tary of State as to the procedure for new taxation, should that be necessary. at, this afternoon's
It is satisfactory to note that,... Legislative Council meeting. for the time being, no new taxa- tion is being imposed, and we are:
glad to see that the Governmentvelopment
is reducing the charges for ex- cess water.
necessary vacancies
even
ری
to fill up posts.
purposes 2
Civil Servants.
Unconstitutional
Wm. Shenton's
Speech
(Continued from Page 1)
"For years past the encrency policy of this. Colony has been to keep the value of our dollar in-line with that of China. Today the margin is such that trading be- comes almost impossible. The ear- (3) In framing estimates of rency of China at the moment is. I revenue and expenditure regard believe, no longer on silver but is a should be had not only to the managed currency; and, who knows conditions of the moment but what the next move will be? also to the general probabilities! The value of silver has, we afe over a cycle of years.
told, been artificially enhanced by (4). While every effort should the policy of the United States of be made by Government to as-America and that a continuance sist the recovery of trade it of this policy will provide them would not be proper to assume with most of the available stocks. that recovery will be sufficient of this metal. Who will venture ly rapid to justify regarding the to prophesy how long this policy present emergency as one of a will be maintained? purely temporary nature, which
"Times" Quoted
EMOK
The Hon. Dr. R. H. Kotewall, C.M.G., LL.D., above, warmly ad- vocated closer economic relations with Canton in his Budget speech at the Legislative Council meet- ing this afternoon.
ment only has the knowledge of i how it can be done, and done it. must be otherwise Sir William Peel's successor will find a posî- tion far more difficult to tackle than it is today.
attention.
*No Increased Taxation!"
and
the duties of a Municipality. that a warning should be given that ait the amergency, in question (were fortunate in getting an avergures is hardly encouraging 230values cause us to think seriously-ino undue strain on the Govern
"Also the prevalent notion that Police Officers and Sanitary In spectors acquire merit by pro secuting people is apt to render the Government unpopular and toj make the man in the street -con-
of such officers.
Whilst the Unofficial Members additional, taxation. cordially echo the hope expresed Civil Servants Privileges
not
་
"These proposals should place
"It can only be done by a care ful survey of every branch of Goy ernment Service with a view to ef- fecting substantial economies, and as a hint I would suggest that Government might, with advan tage, turn its eyes on the Medical, Education and Harbour Depart ments, where some substantial economies might be made.
"Government servants
so far have been more fortunate than their colleagues in other Colonies as regards cuts in their salaries. can legitimately te tided over "I should like to draw attention
although it cannot be denied a ris- on the subject of the possible deį by the use of surplus balances to an extract from the City Notes
ing dollar automatically produces Lfcit, and that the Secretary of }"
(5) Estimates should
bel of the London Times of August drawn up on the assumption 15 last which states as follows:-
to the recipient fewer dollars on State has already, without the
a sterling salary and thereby casts that the present conditions are Monetary disturbance was caused | Unofficial Members of
or the
the Government less. But, as far Finance Committee of this Coun- likely to prevail for some time in the East when America was busy
as Government servants in this 'to come. cil being consulted in any way,
foreing up, the price of silver, and
Colony are concerned, they receive. very sanctioned"
great disturbance is being 5244. Financial Warning a scheme whereby
their salaries at the rate of the step forward in the such deficit is to be met partly by
caused by a reversal of that policy. "I accept these principles as in Hong Kong is faced with an awkward necessary
"In 1933 the shares of the Hong day, up to 23. Acting allowances, town-planning of Kowloon. additional taxation and partly by mutable as the laws of the Medes problem, for yesterday her exchange Kong & Kowloon Wharf & Godown travelling allowances. house al- "It is also satisfactory that, The Unofficial Members now cuts in the salaries of Government and Persians and I am gravely fell one penny to 1/11%, being a Company Limited touched 245: to-lowantes and rents should receive notwithstanding the need for proceed to deal with one part of
perturbed at the prospect of an rate below export point. Ordinarily day they stand at 73. Secretary's Budget! drastic economy. the Queen Mary the Colonial
estimated deficit of $850,000, after the Hong Kong authorities by modest "In 1933 the shares of the Hong! operations in silver would have been Hospital is being vigorously pro-speech," to which they take the
That procedure of the Govern-taking from our surplus balances able to correct this position, but with Kong Land Investment & Agency "I think it is the unanimous ceeded with. whilst the 75-foot strongest exception.
ment we object to as being
un the sum of $2095,789, thereby in one large buyers exercising absolute Company Limited touched 80: to-view of the public that increased read from Causeway Bay to Ming
Passage In Dispute
constitutional
one year reducing our surplus predominance over the silver market day they stand at 22
taxation is out of the question at Yuen (now know as King's Road),: "The passage in question reads
"We are painfully aware of the balances to the minimum figure it is impossible for the authorities to
"In 1933 the shares of the Hong the present time. of resort with the same confidence to the Kong & Shanghai Hotels Limited the Central British School and as follows:-
fact that the Unofficial Members permitted by the Secretary "In spite of all this, however, the
usual adjusting." the new Kowloon Magistracy will|
"Should Government be of the Government would be failing in its of this Council are in all matters State: particularly as it follows
"I believe the above position has touched 10.90: to-day they stand opinion that an immediate reduc- be completed next year.
daty if it did not contemplate in ad- of voting in a hopeless minority, the year 1935 in which we have arisen on more than one occasion at 3 *Regarding retrenchment of rance the steps that will have to be but surely that fact makes it all already an estimated deficit of when a flight of currency from
tion of 10 per cent in the Colony's "In 1983 the shares of the Hong total expenditure is absolutely im- staffs. we are glad to learn that taken in 1936 if there should either the more imperative that they $152966, and the year 1934 which this Colony might have taken Kong Tramways Company Limited possible then I must press for a the Government is carefully con- be a sharp drop in the dollar rate or should at least be consulted be had an actual definite of $1,574. place but for the action of the touched 232: to-day they stand at reduction of 5 per cent and the sidering whether it is absolutely serious decline in revenue or pos fore any definité arrangement is 870.
As I have said, no addi- sibly both
Chief Manager of the Hong Kong! 10.65
| taking of $1,000,000 only from the · This dipping, year after year, and Shanghai Banking Corpora- ES tional taxation has been imposed in come to with the Secretary of
"These shares represent a part surplus balances, leaving a further Our staff of the existing circumstances: but it is State for meeting a possible de-into our surplus balances must tion. The able way in which he of the life-blood of this Colony $1,000,000 to assist us in tidlag Civil Servants is a very large one as well that warning should now be feit in the finances of the Colony stop, or we shall inevitably find has controlled our, currency, posi-and it is on the security of their over the year 1937. Any other
after making the fullest given that this may be necessary by means of additional taxation ourselves in a most difficult position has met with universal ap-
values that much business is course would in my opinion be allowance for the fact that the the state of the puble finances
preciation some serious de "Perhaps we may be told that tion.
transacted
financially indefensible Government has also to perform 1936 should show.
“Ir-1934 we budgeted at 1/3 and terioration. It is also desirable e, Unofficials shall be consultea
A survey of the Colony's trade; "Perhaps our most solid asset fraught with the gravest danger.
is our landed property. Here the deed it is considered by some that temporary levy on all Government should arise, but what a farce any fage rate of 1-1/6 1/16. whilst in we have too many regulations in salaries, both dollar and sterling such consultation mast be, in view 1935 we budgeted at 1/4 and were cult times through which all mer-Rents on an average have fallen ment administration, as it is al-
one khows only too well the dif this Colony and too large a staff may be necessary before the end of
fussing 1966 in the circumstances referred to, of the passage in the above quot-incky to experience an average cantile concerns are passing somewhere in the neighbourhood ways open to Government to come of subordinate officers about and worrying people re and that the Secretary of State hased speech of the Colonial Secre rate of 2/0 3/16. Notwithstanding
"But for the favourable move of 30 to 35 per cent in the past two to the Finance. Committee for a already given bis sanction to actionary, in which he says:——
these favourable rates, substantial garding the meticulous obser-
ments in exchange in the years years and the value of property supplemental vote in case of ab- or these lines. It is necessary at "The Secretary of State has al-deficits followed. To-day we are vance of the regulations.
the moment to go into details of pro-ready given his sanction to action budgeting at 1/8 and who will 1934 and 1935 the deficits, sub- about 40 per cent. These per-solute necessity posals which will only be required in
stantial as they were, would have centages are worked out on 2 "My experience of life is that the event of a contingency which we on these lines' Le, on the lines of ventare to foretell the future?
partly meeting such a deficit by The exchange factor is always been considerably larger and re-broad basis for the whole Colony if there is money in the till it will hope will not arise.”
venue-raising devices or curtail and are intended to represent mid surely be spent, whilst a deterrent ja problem in budgeting-to-day it
ment of expenditure would have le figures. I have obtained them such as the necessity for a supple- is more than a problem: it is become essential.
from two of our leading archi-mental vote compels the Head by the Colonial Secretary that "In further support of our con-menace.
Further Dwindling Seen
tects.
of the Departinent concerned to Novel Economic Situation sider that we could do with fewer such a contingency will not arise tention, that, in the event of such
"The Honourable Colonial Trea-}
Setback To Trade
think twice before he comes before and that our Budget for 1936 will a deficit unfortunately arising "The economic position which
"From the merchants we hear the Finance Committee and applies surer, in his able and lucid become unbalanced. we the taxpayers should not share the this Colony faces to-day is not Memorandum, indicates under the all sides complaints of lack of for more money. Additional Police Defences "We approve of the additional strongly object to any additional burden with the Civil Servants, we only peculiar but, I believe, novel heading "1936" the general falling business, and who is there who "As it is not my desire to force Police defences which are being taxation being imposed to meet would point out that
in its history. The difficulties are off of revenue and the possibility has not written down his balance this issue to a division I can only any such deficit in our finances.
(i) Civil Servants possess the not the known factors, for these erected on the frontier and of the if it should unfortunately occur. following very valuable privileges, can be met by counter measures directions The Honourable Cobourhood of 50 per cent? Who have said will not fall on deaf ears of further shrinkage in various sheet by something in the neigh-express the pious hope that what I extra police engaged for that pur-]
Civil Service Cuts pose. The growing population of
namely, pensions, passages for but it is the nebulous uncertainty, "Our contention is that
any themselves and family, housing or the sword of Damocles that hangs lonial Secretary has also drawn have not made efforts to reor- or barren earth but that a great ter police protection against raids such deficit ought to be made good rent allowance, privileged rates suspended, which may or may not our notice to the same possibility.ganise, reduce staffs, made cuts in effort will be made to balance the
less salaries and generally attempted Badget" by bandits
exclusively by cuts in the salaries for medical attendance, continuity fall; probably it will, but whenersonally I take an even of Civil Servants.
hopeful view; in fact, I am of the to economise in all directions? “We approve of the two new
cf employment, safety of employ-no one can tell. postal kiosks and of the improved. "In support of this contention ment and
Hon. Dr. Kotewall's protection against "In the past we have always had opinion that there must be a fur-In view of the circumstances ther dwindling of our revenue. prevailing how can Government postal deliveries in outside parts of ours, we beg leave to remind arbitrary dismissal.
a sound currency basis to work on "The principal items of the expect to collect revenue to any of the Colony, and also of the the Government of certain facts, (ii) That, as the result of the for the purpose of budgeting, as Public Works Extraordinary which thing like the extent it did in short-wave telephone transmitter which preceded the considerable present depression, very drastic there has existed a solid and na- we have on hand are essential to more prosperous times? which was recommended by the increase in salaries which came cuts have already been made in tural value of silver To-day no the Colony and had already been not, and it will not Economic Commission.
into force on the 1st January, the salaries of their employees by one can predict what to-morrow
"Bearing in mind these facts, "I am aware that there are not too long delayed chief of these: "Under Public Works Depart-1931.
many business houses in this Co-will bring forth," ment, we agree that in these times: "These facts are:-
are the Queen Mary Hospital, the and taking into consideration the wanting people whe believe that of depression it is advisable to (1) That the Unofficial Mem- (iii) That, in many British Co-Government's unwillingness to Central British School, the Magis great uncertainty of the exchange, Hong Kong is lightly taxed, com- pared with other parts of the Em- retain as many employees as pos-bers, in June 1930, very strongly lonies, in order to meet bad times, sacrifice any source of revenue in tracy at Kowloon, the New Gaol what should be done?
"I am not for a moment suggest-pire. This belief is, as I have sible on a temporary basis. opposed such increases of salaries, cuts in salaries or in allowances times like these, nevertheless, they and, most important of all our
conditions are more than once pointed out, based *In regard to Government and that it was then pointed out have already been
Of these the ing that present made and are hope that opportunity will be taken water schemes.
passing on faulty premises. So much of. House and City Development, we by Mr. John Owen Hughes, the still in force
to make such readjustments as water schemes and the new gaol permanent: they are a consider that the Government is then Senior European Unofficial "To pass on: We have no will lead to a reduction in charges are Loan Works but the others phase of very uncertain duration our population is of a migratory wise to call a halt, for the time Member (see Hansard for 1930, at doubt that the residents of this on shipping. Although still have to be paid for out of current which, like similar cycles of de-character that to compere our tax- pression in the past, have had to burdens per head with those of being, to a scheme of this expen-p. 77) that, at the exchange of Colony will continue to face up to severely depressed, shipping is revenue. sive nature, which originated in 1s, 101, such increases of salaries the present difficult situation with likely to be our mainstay in
"No one will deny the impor-be faced The Colony has no other places is fallacious and more prosperous times.
would result in the Colony having resolute
courage, but we
immediately most years.
tance and absolute necessity of public debt worth speaking of, its futile. It is on the settled portion ahead and "With reference to the Shing to pay $2,000,000 extra for the strongly deprecate their being should be encouraged as much as these works, nor will anyone cavil speculative position is moderate of the population that the prepon- Mun Dam, we note with pleasure increases in sterling and dollar saddled with additional, taxation. possible. The danger that work at the money judiciously spent on compared with many other places derating part of the burden falls, the highly satisfactory progress salaries.
"We are convinced that a low might be driven away from this them, but the most scrupulous and the general situation is that as it is with them that the main- which has been made, enabling (H) That the direct
con-exchange would much benefit our port on account of charges higher care must be taken to ensure that of a cash position. In these springs of our economic activity some water to be impounded from sequences were (see Hansard for local industries, and would also, that are levied elsewhere is ob they are provisioned in a manner circumstances the Colony will are to be found. the first of last month. We con-1930 at pages 176 and 177) that by causing an influx of capital for vions to everybody
suitable for the purposes
for easily adjust itself and, when re-
will come quickly. "In my opinion, formed after. gratulate Mr. Gifford Hull and his the Government were compelled. investment, tend to relieve the "The Chamber of Commerce which they have been provided cover comes, it however be box careful study the cradling staff upon being so well forward in order to balance their Budget present abnormal stagnation in also hopes to see a reduction in and that misguided enthusiasm or with this important scheme. for 1931, to impose the following business conditions. Incidental postal charges. High exchange individual sentiment is not allow getful of the fact that undoubted-conditions, the Government, in- additional taxation, namely:--- ly, too, a low dollar would improve recently has not helped business, ed to run riot in luxury and exly some of the entrepot trade stead of contemplating new taxaA-
-(7) An Amusement Tax, to our tourist traffic.
bat it has helped the Government travagance. Care must be taken which formerly came through tion, should devise means of posi are not providing an Hong Kong now goes direct to tive amelioration. Our trade is produce 3 lakhs of dollars.
In conclusion we would add to meet its liabilities to other Ad- that we (2) Increases in Light Dues that we place great reliance upon ministrations for postal services. Eldorado for those less fortunate. China and probably will not re-more than ever depressed, but so and in fees for Government chat close co-operation between Some readjustment seems to be ly circumstanced in South China, turn to this Colony.
or creating" a standard which will
Inadequate Drops Buoys, and in other items of re-all sections of this community due.
be an undue strain on our re-
"I am not ummindful of the fact policy of avoiding fresh taxes may venue affecting shipping, esti- which has been of such marked as Govt. Telephone System
that in the 1934 Estimates of go by the board. Surely it would mated to bring in $364,000. sistance to Hong Kong's progress "Looking around, as everyone is sources to maintain.
(3) The increase of the Gen-in the past.
doing, for possibilities of econo-j
Short Survey Of Posizion Public Works Recurrent there was be wise statesmanship to venture eral Assessement Rate by 45
mising, the Committee of the
"Before proceeding further 1 a reduction of $78,750-and in 1935 upon a positive fiscal policy, not of from 18% to 17%, to bring in
Chamber of Commerce also sug- think a short survey of the local of $148,100, but these drops in the new taxation, but of Vahtening the about $1,400,000.
gests that abolition of the Govern- position is not out of place, to en- ocean are quite inadequate if we burden of the people. "Those additional taxes, im
The Assessed Tr Iment telephone system might be able us to get a correct perspec are going to ensure a balanced “A full report by Dr. Jackson
"Speaking in the Budget debate tive of business conditions as they budget and not continue to draw considered: It scarcely seems" an on anti-malarial measures during posed to meet those increases of salaries, are still with us and, in
further on our surplus bat last year, I strongly urged a re- 1934 appears on pages 116 to 158
economic proposition, to maintain in fact exist to-day.
The stock market is a fair We must have a 10 per cent reduc.duction of the Assessment Tax by of the Report of the Acting Directimes of depression like the pre-
8 separate system to serve sub
rometer and I have obtained the tion on the Colony's total expendi 4 per cent, as a temporary expe- tor of Medical and Sanitary Ser-sent, they are even less popular continues with its present virulence scribers whose names occupy six vices for 1934, and induces us to than when they were first im Hong Kong, which has bem built pages in the Telephone Directory market values of various popular ture, which would mean reducing dient. I need not repeat at length arge that, if possible, more money posed.
up on the opposite policy, is bound and it might be cheaper in the shares, taking the highest prices the estimated total expenditure to the arguments which I then ad- should be devoted to anti-malarial
- Unjust Taxation
to suffer. Circumstances compel long run to add them to the system in the year 1933 and the approxi- 328,638334 and would balance the duced, and which, I have reason work than is at present included
"Accordingly, the Unofficial us to reconsider from top to bot-which serves 270 pages of sub-mate values to day..
budget with a small margin fit to believe. had and have the support of a large proportion of Members contend that the textom the scale of an administration scribers. In the search for ways In 1983 the shares of the Dairy in the Estimates for 1986.
am the comm
am more than "We trust that the forthcoming Pagers of this Colony are already which has grown up in more prow- and means of reducing the cost of Fam. Ice and Cold Storage Com-
ever convi cemetery extension at Banner paying amply for those increases Derous days.
administration Which must, I think Pany Limited touched 29% to
|day they stand xts. bccupy a trekk dent of
In 1933, the shar Electric Con
78: to-day
the New Territories justifies bet-
Anti-Malarial Work
*Shing Mun reminds us of the. excellent anti - malarial, work which has been done by Dr. B. B.) Jackson and his staff not onlin that neighbourhood but also in the Peak District, which is now more free from mosquitoes than it has been for very many years past. Also much⠀⠀(good anti-malarial work has been and is being done in. Kowloon Tong. Stanley, Sher O and elsewhere.
Hall will, in the course
Sterway cars,
Cemetary st
leased for build
.:.:
-
of salaries (which are ? SME force) and that, to make the 1 payers pay fusore Vinader and other de-sharp drop in the dollar ahouka)
be
long, and
Hon. Mr. Paterson's Speech
(Continued from Page 1)
„Shipping Charges
**The Cowbellbes of the Glutena of Codimerce fully-
(Continand at foot of next Col
the
-
"How this
to be done
:::
It can
Speech
(Continued from Page 1)
Reduced Taxation
far only negative fiscal measures have been taken; and now even the