HONG KONG DAILY PRESS, TUESDAY, MARCH 27, 1934.

NEW TERRITORIES PRODUCE

COMMITTEE'S RECOMMENDATIONS REGARDING MARKETING

FACILITIES

Result Of Exhaustive Inquiry

The committee appointed by His Excellency the Governor to consider and submit recommendations regarding the marketing of New Territories produce in Hong Kong and Kowloon have -completed its work and certain interesting recommendations aré · -made in their report.

The system by which farmers of the New Territories at pre- sent market their fruits and vegetables, makes interesting read- ing. The report of the Committee deals at some length with the possibility of marketing In Hong Kong and Kowloon, eggu from the New Territories. The report points out, however, that some times as many as 100,000 cars a day are imported into the Colony from Swatow and Swabue, while the total quantity which the whole of the New Territories could supply did not exceed 1,000 per day,

..

The Hon. Mr. A. E. Wood was chairman of the committee, others members being The Hon. Dr. S. W. T'so, the Hon. Mr. J. F. Braga. Mr. T. Megarry and Mr. E."H. Willama.

"Godfather" Who Acts As Broker

The report falls under four headings: **General," "E115," Fruits and Vegetables " and "Conclusions."

We publish below some extracts from the report:-- .

Eggs

Imported eggs come into the Colony especially from Swabue, Swutow and Tientsin-sometimes as many as one hundred thousand a day and at the very minimum twenty or thirty thousand. The best of these eggs cost the whole- sale dealer $2.50 a hundred; the least good cost him $2 a hundred. The production of 'New Territory eggs is exceedingly small in com- parison with the amount imported.

The amount of eggs produced in the New Territory is very small for the reason that the farmers do not rear hens to produce them. If the farmers reared hens until they were older instead of selling them as young chickens, they could pro- duce 'more eggs

The Committee is Informed by one of its members that he has received an expression of opinion from, Mr. J. A: S. Alves, who was in sole charge of the Poultry Sec- tion at the two Eritish Empire Fairs held in Hong Kong. In stat- ing his opinion Mr. Alves expressed the view that, given proper hook- ing and feeding, he could see no reason why hens should not be successfully reared in the New Ter- ritories in suitable localities. At- tention would be necessary to the

of selection

suitable the most strains, and an experiment in the production of eggs on a large scale in the New Territories for the markets of Hong Kong and Kow- loon would be justified. He cited in particular the case of Sunny Farm whose eggs command a ready sale at certain stores in Hong Kong.

K

The District Officer secured for us certain statements and informa- tion. From these statements it is evident that New Territory pro- ducers have no difficulty in selling their eggs to the big market cen- tres of Yuen Long and Tal Fo. The dealers in those markets are unanimous ir saying that the demand exceeds the supply. The dealers there would welcome in- creased production on the part of the farmer; but it seems that the farmer cannot afford to take the risk. Capital would be needed in the first place, and the danger of having his hens dying upon him makes this avenue of profit too uncertain for the small farmer.

Fruit and Vegetables

To turn to vegetables, the two wholesale dealers, Messrs. Wong Pak Kan and Wong Kit Wan, gave interesting information. to-the Committee. Mr. Wong Pak Kan le one of the biggest wholesale desiers- or laan in the Central Market with many years' experience.

attempt made by the Agricultural Association to lend money to farmers at a comparatively low

BONHAM STRAND MORTGAGE CASE.

rate of finterest had met with no APPEAL AGAINST MR. JUSTICE

success. From the beginning unti now only $60 has been lent, and this has been paid back. The rea- son for this disinclination to bor- row from the Association, seems to be that the Association demanda not only a registered mortgage but also an independent guarantor in addition. The result in that the farmer prefers to borrow "direct from the potential guarantor who would probably be one of the New Territory elders, in the manner to which he is accustomed, and will not go to the Association at all.

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WOOD'S DECISION

Solicitor Called As Witness

Before the Chief Justice Mr. A; D. A. MacGregor and the. Pulsne Judge, Mr. B. B. Lindsell sitting ay si Fuŋ Court of Ap- peal, the Bonham Strand West Property: case came up again yesterday. The apptal is on a point law and on a point of fact

against the Judgment given earlier by Mr. Justice Wood,

The appellant was La Two Shi, widow of 71- Shankung Road, Mongkok, hauvinistratrix' of the estate of Li Woon Nam, who died In 1925. Respondent was Pong Tio! Ching of Shatin, New Tor- eltoelės, in whose favour the final judgment respecting the pro- perty was made.

With regard to the marketing of vegetables, the Association is con- aldering scheme to establish a depot at Yuen Long market for cc/lection of produce which their own lorries would bring in to a laan ir Hong Kong or Kowloon. Apparently their intention is to become a sort of 'kai-ye' and sell to the laan on the usual 6.4 per cent. laan commission, but to ab- stain from making a 5 per cent. 'kal-ya' charge to the produceť. They would be prepared to lend to their clients sums not exceeding $50 in any one case at 10 per cent. per annum interest, but without security. They admit that no dif- ficulty at all is being experienced | History" of the case. He said that in bringing New Territory produce in to markets in Kowloon or Hong Kong but they think that they will Tai Po and Tsun Wan, brings the be able to secure for the producer produce in by lorry, gets it sold,

a bigger profit than he now ob- and takes back the money to the tains, Inasmuch as they hope to farmer. By this syster the dispense with the usual charges of farmer becomes his protégé and

akat-ye. It is not clear how the 19. induced to keep on supplying Association proposes to reimburse that particular kal-ye with

itself for the expenses of the depot vegetables and so his production and conveyance into Kowloon or Is stimulated. What does the Hong Kong. Their proposals bave producer have to pay for all this cot net reached a final form; but service? He has to pay commis-even if they are successful, they do sion on the price realised at sale not themselves claim that they will to the public. The commission is add to the marketing, facilities two fold: 6.4 per cent. is the We took advantage of "the pre- laan's commission and 5 persence of Messrs. Fung Kei Cheuk cent. is the kal-ye's commission. and Tetzel to ask whether the In addition a charge is made for Agilcultural Association had any

Mr. B. G. Sheldon and Mr, Leo D'Almada, jnr., were instruct- ed by Mr. M. K. Lo for the appellants, and Mr. Eldon Potter, K.C., 188 Mr. F. C. Tenkin, K.G, instructed by Mr. E. Davidson. for the respondents.

Outline Of Earlier Proceedings

Mr. Jenkin' outlined the previous, the title of Li Kal-lo?-No.

conveyance which "In the case oi Tai Po works out at about 40 cents a picul for lorry hire.

The Kai-ve is himself financed by the laan who has to meet the overhead charges-and guarantees the credit of the whole transac- tion. The laan commission in Hong Kong is lower than at any other place in the delta, In Kong Mun, and Canton the laan charges 11 per cent. direct to the producer for laan services only.

Mr. Wong Pak Kan was unable to say how or when the Hong Kong commission had been ar- rived at; but to his knowledge it had been at its present figure for the last sixteen years at least.

Runners

}

plans to stimulate production' in the New Territory, apart from the question of marketing with which we are directly concerned, They replied that they have engaged a peripatetic lecturer who goes round the villages lecturing and distribut- ng pamphlets on superior methods of growing vegetables and rearing poultry, pigs and cattle.

Conclusions

With the evidence obtained and

the instructive statements secured for us by the District Officer, North, and the Head of the Sanitary De- partment, the

Committee have reached the conclusion that the

for organisation existing marketing of New Territory produce in Hong Kong and Kowloon is

we

the

Mr. Wong stated that the laans are getting more and more veget-functioning in an effective manner. ables from the New Territory and we are satisfied that there is every year. Prices are very low no ground for the allegation, which this year, but they are still get-

understand has occasionally. ting more vegetables from the been made, that the New Territory New Territory. This is due to farmer does not get a proper Improved facilities of transport. chance of having his produce sold The lorry has made a great at the market stalls of Hong Kong difference to the marketing of and Kowloon. The proposal of the New Territory produce in Hong Agricultural Association to establish Kong, and the vehicular ferry collecting depot in Yuen Long now permits of direct transport market is not calculated in its view to add to the marketing to the Central Market.

faculties, but the Association ap- (b) To a much smaller extent pcars to hope that its experiment than by the above process, veget-wili tend to secure to any farmers ables are also brought in to the who avail themselves of it a greater laan from the New Territory by margin of pront: runners who bring in produce direct to the laan and only pay lean commission as they do not work through kai-ye. In Mr. Wong's case the business done by such - runners forms less than 5 per cent, of the whole. It ap- pears to be only in the case of such runners that the train may sometimes be used instead of a lorry

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when Li Woon-nam died be left a will in favour of his wife and in- cluding the property. They had an adopted son named L Kat-loi and a trusted friend named Ng Yu-hon; formerly a director of the Tung Wah Hospital and of the Bank of Canton. Ng took a lease of the premises and later re-let them and | despatched the rent monthly to | the widow in the country, with whom he was then to constant touch.

|

We know now, in fact, that Li had no title?—Yes.

And you were not suspicious?--- There was nothing to arouse aus- picion. He was on the register as owner, and the fact that he had lost tire deeds was no proof that the title was false. I had a sus picion that Li Kat-lol or Li Hip- lol were defrauding the family, but that did not affect the mort- gagee's title one iota

You, 33 a solicitor had these. suspicions and if they were right the unfortunate purchaser would not get a title?—Not at all.

In 1930, a deed of assigninent of the property was put through, the assignment being from. Id Woon-¦ Witness explained at length. nam to L Kai-ioi. As the former that the title of the mortgagor had been dead for five years, he being good, the title of the morte had obviously been impersonated, gazee was also bound to be good Later, a power of attorney was and unaffected if this suspicions. given by E Kai-loi to his cousin, were correct. When Ng Yu-hon L Hip-lot. About a year later came to the office and " said he property TES mortgaged knew nothing about the mortgage, in the office of Messrs. Wilkkwan | witness suspected that Li Kai-lot. and Grist, the mortgagee being had pocketed the money himself. Yan Pur. At that time Li Hip- If Li Kallot bad no title it lol had his cousin's power of at- would affect the innocent pur- torney and L Kaloi had sworn chaser?—Yes, that he had lost the deeds of the property.

the

First Suspicions. When did your suspicions first The interest on the, first mort- arise?-When Ng came to the gage became two months in ar-office. rears and Yan Pun decided to When were counsel first engaged exercise his power of sale, but for the mortgagees? Was it not when the sale was advertised, Ng about the time than the power of made his appearance at the office sale was exercised by Yan Pan? of Messrs.. Wilkinson and Grist Yes. and told Mr. Hugh-Jones that he bad been connected intimately with the property for some time and knew nothing of the mortgage. He cast doubts on the validity of the mortgage and the power of attorney.

Sale Not Postponed, He was told to consult a ̈ solici- tor, with the result that Mr. Wat son appeared on his behalf at the sale and offered $3,000 to postpone the sale. The sale proceeded and the property was acquired by Pong Tsol-ching, the present defendant. Wong Ka-kong later turned up with the deeds in his possession.

¿

Is it not rather unusual, to re- tain counsel in such a matter as the exercise of a power of sale?-- There is nothing very significant about retaining leading counsel. or even two of them, in such'a mat- ter,

Relainers are issued anti- Ipation of an action?—Yes. in. this case it was a sort of general retainer for the property.

Referring to the visit of witness with his interpreter Wal Po cheung to the shop of. Ng. where members of the family were pre sent, Mr. Bheldon asked:

H

'Did Wai tell you of his suspicions that Li Kai-lot had falsely sworn Shortly after the sale, Mr. Hugh about the loss of the deeds?-He Jones went to Ng's shop to see Wong and get the deeds but was may or may not have done. I can- told that the

not remember. deeds had been

He swears that LA Eai-lot was dispatched to the widow to the in the shop and that he told you. country. At this moment the

and made no reply?..... widow who was in the shop, step-Witness said this may have been ped forward and said through an interpreter to Mr. Hugh-Jones 50; but as he did not think the title was affected, he did not go "Please get back my son's proper into these auspicions. ty."

What we suggest is that the Mr. Hugh-Jones would give evi- only true dence

explanation of these on his knowledge of the rather, peculiar circumstances 15 transactions.

that Kai-loi, for some reason during the thirteen months "after he secured the deed of assignment, would not or could not use it. He wanted money during this period. so he swore this statutory declara- Mr. Sheldon Mr. Yan Fun, in which you know how was false?

tion (that the deeds were lost) site of Mr. Black's advice: in-Yes it must be so sited on taking up the deeds and advanced $65,000 on the strength

Mr. Hugh-Jones, giving eri-

More Space Required We recommend that the Govern ment should provide additional vegetable laan space in Yaumati, and we suggest that in allocating nan areas on the new alte to be so provided, the Head of the Sani- cary Department should bear "in mind the importance of encour- aging each laan applicant to sell New Territory vegetables in the Mr. Wong was confident not an area to be allotted to him. In only that the existing system in some cases from his own knowledge fact offers an entirely adequate the Head of the Sanitary Depart- organisation for marketing pre- ment may be able to give prefer- sent day New Territory produce ence to an applicant known to deal in Hong Kong and Kowloon but in New Territory produce and the that It also permits of unlimited Head of the Sanitary Department expansion, provided that the laan could add his encouragement thereof a young man's statement that themselves are given room to ex- to.

"

dence, said the deed of assignment was not challenged for days after the sale, though the mortgage and power of attorney were question ed,

he had his sticase, rifed (and the deed of assignment stolen) between Hongkong and Tolshan?

Witness: Yes.

interest not paid for two months It was quick work, was it not and powers of sale exercised by the mortgagee? Yes, it was an exception. protested that he knew nothing Referring to Ng Yu-hon, who

about the first mortgage, counsel

about this from the beginning and eccording to you, Ng knew all his evidence is false? Yes,

Assignment Turns Up

****

And he then gave & power of

Man of Straw

attorney to Li Hip-101 perhaps be- cause he did not want to face soli- citors himself?-May be

Mr. Sheldon submitted that the Pun merely a blind to cover the property was mortgaged to Yan

weaknesses of a Arst transaction and that no money passed on this occasion. Yan, Pun was a man of cause they could not get straw whom the parties used be- Kengine mortgage on the story of lost deeds, etc.

this was a highly improbable but Witness replied that he thought

a possible story.

Counsel: Why?

Witness: Because, I think the

pand, particularly on the Kow- With regard to improvement of loon side of the harbour. means of communication between Mr. Wong Kit Wan confirmed the the villages and the New Territory There are mainly two methods evidence already before the Com-market centres, we quote the fol- by which New Territory vegetables mittee, showing that New Territory lowing extract from a minute by and fruit come into his lsanj vegetable produce is coming in to the Colonial Veterinary Surgeon

(a) Attached to the laan are | Hong Kong and Kowloor, by lorry "At the present stage the trans- men called Kal-ye, literally god in steady increasing quantities, rort and purchasing facilities pro father or sponsor. They hold and in his opinion the existing vided by the Iran and Kai-yes" this title in relation to the Newlann facilities in Yaumati are seem sufficient. In moving about Territory producers. The Kal-ye decidedly insuficient. In his case it has appeared to me that in goes out to the New Territory and he hires. lorries which are sent out many cases producers have says to the producer, "Let me with his own, fokles to Tsun Wan, lung carry to the road or ratí. sell for you, I'll lend you money Tal Po, Kam Tin and Yuen Long The making of tracks passable without interest to assist your He hires lorries sumclent to cope for light lorries into these districts production. I'll provide baskets with the 'suppiles of the season. might be considered. In general and I'll send men out to weigh He knows what to expect and the surfacing would be unnecessary. your produce, and bring it into producers tell him the quantities Roughly graded tracks to a wide, the laan. After the stuff has they will have available the fol- with passing places would sunce. been sold through the inan framlowing day. He has never refused swampy patches could be fascini market stalls to the public, r any produce offered him for sale ed. The area to the north of Tai bring back to you the price in the above-named New Territory Fu and stretching to the Border realised by sale to the public. For centres." He keeps no written con- beyond Baf Kung seems badly all this you will pay me com- tracts as between the 'laan and served. The District Officer, North mission for my work and you will the producers, nor are there any and the Supt. Botanical & Fores-ward the view that technical ad- pay the laan commission for the written regulations. The accounts try Department could assess the vice to the farmers on the question Isan facilities." This is the kalare kept in an account book by the possibilities of this large area bet of fertilization of the soil and selec-The property was at that me ye's proper business. He knows laan and are accepted by theter than I can."

tion of seeds would be of great valued at $100,000 and there were the producer. He advises him is producer.

We commend this suggestion for assistance to the farmers of the two mortgages to the value of 885,- Pe Agricultural Association w the consideration of the Govern- New Territories, since such assist 000

At our third meeting, held on ment.

PINance would tend to increase the In the afferro December 13, Mesars. Fung Kel Although not strictly within the production of farm produce and addressed the Court on the judg

Mr. Sheldon Cheuk and C Tetzel attended by terms of reference, one member of thus help further to reduce the ment given by Mr. Justice Wood. invitation. We learned that the the Committee desires to put for cost.

The hearing was adjourned:

to the line of produce required. inances him before the crop by advancing money to him for -seeds, takes delivery from the main centres such as Tuen Long,

appeared in the possession of mortgage to Yan Fun was a loan

The mysterious assignment ré- Wong Ka-kong (father of Li Kal-or an investment. I have not fol)? Yes,

heard, your suggestion before to- Were you suspicious at this time day. that something was wrong" with"

It seems to fit in. The refusal to accept $3,000 to postpone the postpone unless he received a sub- sale? advised him not to stantial amount of the principal.

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