Tender in such quantities (the maximum tender, for silver subsidiary coin, is two dollars); but coin reckoned at bullion value would, strictly, be as useful as useless to the Colony in a crisis.
In the reply to this Letter the following Number should be quoted.
5469/01
But we do not deem the notes of the Colony to be overstucked. We order subsidiary coin beyond its probable requirements; and if the Bank lock up $900,000 at a time, it is clearly not intended for this Colony, as the Treasury is pointing out that subsidy for, and not intended for this. Send copy disp. to I run letter: explaining on unamended A.F.2014 CAL.25 atones 15-5938 15726745.
Sir,
Rec'd 0.0. 12144
Reg'd 4 April 01
TREASURY CHAMBERS,
4-April 1901
I am directed by the Lords Commissioners of His Majesty's Treasury to acknowledge the receipt of Lucas's letter of the 26th ultimo (9935/01), covering a copy of a statement prepared by the Crown Agents for the Colonies shewing the value on the 2nd January last of the securities held by them against the Note Issue of the Hong Kong and Shanghai Banking Corporation.
With reference to the statement in the letter under acknowledgement that on the 5th February the amount of the deposit against the Bank's excess Note Issue in Hong Kong was $4,100,000 in dollars and $900,000 in subsidiary coin, I am to request that you will call the attention of Mr Secretary Chamberlain to the terms of the Colonial Office letter of the 13th July 1898 and the Treasury reply of the 15th idem, whereby it was arranged that the excess issue should be secured by the deposit of dollars to the full amount of the issue with the Colonial Treasury. The Hong Kong Ordinance in which this arrangement was embodied provides merely for the deposit of "coin or bullion," but My Lords are of opinion that "coin" should be interpreted to mean "full legal tender coin" such as would be available for redemption of the Notes and not to include "subsidiary coin".
The Under Secretary of State Colonial Office.