036 625
and the establishment of a Government
Note Issue, as in the Straits Settle-
ments.
4.
If the former of these two
methods is decided upon I am disposed
es at present advised, and subject to
any objection you may raise, to allow
the Mero: ntile Bank of India, Itd. to
issue notes to an amount not exceeding
the paid up capital of the Company, and
subject to the same conditions as to
the deposit of security to the extent
of one third the total note issue, as
in the case of the Hong Kong and Shang-
hai Bank and the Chartered Bank of
India, Australia and China. I enclose
a copy of correspondence with the
Directors of the Mercantile Bank on
5. I need hardly myy however that a goot hote issue Suns to
be the preferably muthed and
this subject.
Lear
I shall,
be glad to
Tu t'e views of your Government