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substituted the words, "it is agreed that foreign opium when imported into Hong Kong." If such an alteration were admitted, the Commission would be taking upon itself to remodel the Additional Article. Mr. Russell explained how, even if Sir R. Hart's plan was adopted, it would be of no benefit to China, the only effect would be to drive away the opium-dealers from Hong Kong to Macao.
Mr. Russell then explained a scheme he was prepared to recommend to the Hong Government, by which he thought a check would be put on smuggling. His scheme was subject to two conditions: (1) that China would induce Macao to adopt similar measures; and (2) that the scheme would be abandoned if found to be injurious to the Colony, or if excessive duties were imposed. The scheme is as follows:-
Hong Kong to enact an Ordinance that no opium shall be imported in quantities less than one chest; that no opium be landed, shipped, transhipped, or removed without reporting to the Hong Kong Government officer.
The monopoly of sale in quantities of less than one chest to be given to the Raw Opium Farmer.
Possession of opium in less than one chest to be forbidden unless the opium is intended for export. Proof of intention to export will be the permit of the Opium Farmer and a duty receipt from the Chinese Customs.
Prohibition of all junks to leave during the night.
Provision for search of merchants' godowns to check the opium. Prohibition of all armed bands.
In addition to these provisions of the Ordinance, the Hong Kong Government would undertake to give the Chinese Customs notice of all shipments by steamer or junk,
Mr. Russell explained that the Ordinance would be passed in the interest of the revenues of the Colony, and for the protection of the Opium Farmer, but it would also prove of much service to the Chinese Customs Administration.
Sir H. Hart said that, from a Chinese point of view, Mr. Russell's plan was the next best thing to the one he had himself proposed. He would explain its terms to Shao Taotai, and come to a decision at the next meeting.
Fourth Sitting.
Present:
Shao Taotai, Sir R. Hart, Mr. Russell, and Mr. Breuan.
Sir R. Hart said that he and Shao Taotai had considered the proposals put forward by Mr. Russell, and that they had decided to accept them subject to reference to Peking. It would take a few days to receive a reply from Peking, and Sir R. Hart suggested that the next meeting should take place on the 10th.
Sir R. Hart said that Mr. Russell's scheme commended itself to him because it would be advantageous to China in proportion as it was advantageous to the Hong Kong Opium Farmer.
Fifth Sitting-July 14, 1886,
Present:
Shao Taotai, Sir R. Hart, Mr. Russell, and Mr. Brenan.
Sir R. Hart stated that he had received a telegram from Peking agreeing to the proposals put forward by Mr. Russell. He asked for the draft Ordinance which Mr. Russell had promised.
Mr. Russell said he was not at liberty to give a copy to the Chinese Commissioners, but he would allow them to read it. At the outset Mr. Russell explained that the clause referring to the hours within which junks might leave the harbour would be incorporated not in the Ordinance, but in an already existing Ordinance called the "Shipping Ordinance."
Sir R. Hart then read the draft Ordinance.
In answer to a question, Mr. Russell said that it would not be obligatory on the holder of small parcels of opium to produce a Customs duty receipt in every case. For example: a man might be found in possession of a few balls intended for export to Manila; but a man found crossing from British Kowloon to the Chinese mainland would