295

a

fruitful

source of friction and would always be mis construed by the Chinese

mind, there are

are m

many points

both jacent islands where the

on the coast and on ad

Chinese Customs could es- tablish it's new stations.

The proposal to give

the Chinese Customs the~

right to levy duties within the Colony of HongKong would be a surrender to China of of the primary functions

one

of

these

of Government and the right of having special jetties where unprecedented operations would take place is therefore needless to discuss.

3. A somewhat similar

may be employed

argument may

against the proposal that

Chinese Customs cruisers and launches should be al lowed to exercise their fune_ tions within British waters.

Besides being

An-

infringement

of our sovereignty such right

of

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