COPY.
ENCLOSURE 2
Minute by the Attorney General.
0.0.
22647
REC (Real 10 OCT 38
27
* Mid ASTM
*** *** 1 *
Hon. Colonial Secretary.
There appears to be in England no prohibition
against 7 foreigners subscribing to a Memorandum of Associa-
tion under Section 6 of the Companies Act, 1862, and forming a Company under the English Acts. As our Ordinances follow the
English Acts the same result follows here.
In a case in the House of Lords Reuss (Prin-
cess of) v.Bos.L.R.5 H.L.,176,Lord Cairns in giving judgment at p 199 says
-
(A.D.1871)
"It is quite true that these seven persons were foreigners, but in my opinion that was no objection what- ever to the incorporation, because, if, in other respects, fo- reigners comply with the regulations of the Act of Parliament, it appears to me they ought to have the benefit of the Act of Parliament, just in the same way that they could have benefited by the laws of this country by trading in this country. The memo. of Association contemplated trading in this country, not trading exclusively in this country but trading in this coun- try as well as in other countries. #
I am not therefore prepared to legislate to prevent Chinese forming Companies in Hong-Kong. All such com- panies have to have a registered office in Hong-Kong. See Sec-
tion
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