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(b) Closing of sea frontier

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owing to shortage of suitable vessels for patrol work. Immediate steps are being taken by the Naval Commander-in-Chief, Far East, to remedy this situation, and Naval personnel will be made available when required to man additional patrol vessels.

(c) Evacuation of Europeans

(a)

(e)

There can be no question of the compulsory evacuation of Europeans from Hong Kong. Plans have beer made for the temporary reception of British- sponsored evacuees from China, on their journey to final destinations.

Rationing

A rationing system is already in existence, and is capable of rapid expansion. Expansion would not, however, have any effect upon immigration into the Colony. Supplies of certain essential foodstuffs are being built up.

Registration

The Governor has decided to introduce a system of registration in two stages:-

(i)

voluntary registration of persons at present

on the ration strength and of others desirous of being registered (estimated time -four months);

(ii) compulsory registration (not until necessary).

(f) Police

(g)

The Police Force will be expanded to approxi- mately 80 per cent greater strength than 1941 by 31st March. There should also be a certain number of European civilians available as a trained reserve to reinforce senior Police officers. The present training capacity of the depot is being used to the limit and could not accommodate any further large increase.

Strikes

There is a possibility that a genuine industrial dispute may be used by the Communists to stir up trouble. Whether they would deliberately initiate industrial and internal strife in the Colony would depend largely on their overall policy towards the Colony and the British Empire generally. Their present action towards foreign interests in China in recent months appears to indicate that they are unlikely to do so, but the danger may arise with little warning. A scheme has been prepared for running the public utility services with volunteer labour, since it is those services whose labour belongs to Communist-controlled Unions. The Naval Commander-in-Chief, Far East,

Far East, has agreed to provide

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mafiftaining essential services.

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