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Both for Police purposes and the public interests, that gaming Establishments should be regulated and subjected to the sanction of the Executive. The granting of the privilege in favour of some individual or Company is not only the best means of restricting the number of gamblers, but also of placing the gaming houses under the supervision of the Police, as well as rendering productive to the state this vice of the Chinese Population.

To attain this end, your Excellency will observe, the agreement provides that there shall be a fixed number of Licensed houses; and as it is in the interest of the Farmer to see that gaming is not carried on elsewhere, he scrupulously secures his privilege from being invaded. It is this supervision which can only be exercised by an interested party like the Farmer, for he has an interest that no gaming is practised out of his establishment, and is besides entitled to a share of the fines to be imposed upon the infringers of the license. In this manner the number of gamesters is much less than it would otherwise be.

At Macao, where there are licensed gaming houses, agents are employed for Police purposes, to watch the proceedings therein, and report daily to the Government. It is at the Gaming houses that information is obtained of robberies, piracies, plots by Chinese of bad character, etc.

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