up a larger force than can conveniently

be accommodated in Hong Kong, is

a sufficient ground for justifying a temporary occupation of the site.

Should Your Excellency deem such

a measure advisable, you will see that I do not think it is open, politically, to objection, and the Governor should be informed that it is temporarily taken as an encampment for troops.

I do not think that it is necessary

to give any explanations

as to our ultimate intentions with respect to it, though should there be a fitting

opportunity, and it should be deemed by

Your Excellency

and

M. Pache, advisable, it might be pointed out to him, that there is

a complete absence of efficient authority, that a large population of lawless Chinese and Foreigners has sprung up, endangering the peace of the Colony and of the Chinese neighbouring towns, and that some arrangement will have to be adopted which shall prevent it from becoming an intolerable nuisance. Perhaps there might be a disposition to allow us to retain it in return for an equivalent by way of the indemnity to be paid by Canton in excess of what is due to the Merchants for their losses at that place.

I shall feel much obliged by Your Excellency's consulting with Admiral Hope and His Excellency the Governor of Hong Kong on the subject.

Page 374

Frederiks, W. H. B.

Bonham,

Bruce.

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