498

Yokohama

As

and

as well

I cared a letter to

his

Dioge Aunghing, I cared... be addressed to Mr. Greig, the Chief Manager of the Hongkong and Shanghai Bank drawing attention to Section 13 of Ordinance 1866 which requires that Coin and Bullion equal to one third

of the Notes and Bills

of

at least

of the Company for the time

being

in circulation must be

Kept at the principal establishment

the balance

in the

2.

I have pointed out to him

that there would be no

in his including

Return

W

in

difficulty

the Monthly

statement shewing the

of the

average note circulation preceding March at the Branch

Bank's

3.

Agencies. In reply Mr. Greig observed

that his Bank was in the habit

of Keeping at each of the Branches

Bullion reserve exceeding

one third of the

exceeding

the note circulation;

Sound

that

the

#

Hong

ground of safety

almost such reserves could not

m

a Bullion

be reduced; and that if the Government insisted on reserve at Hongkong covering

not

one third of the Notes in circulation here but also at the

Branches it would become a

question for the Bank would

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