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subsidiary comi..
3. The proper function of subsidiary com... is merely to supply the small change required by a community, and under a sound system it is not likely to take the place of legal tender in any large transaction. You are aware that by the Schedule 3 of the Order in Council of the 2nd February, 1895, the limit of tender for silver subsidiary coin was fixed at two dollars.
Department and the Treasury have concurred in this respect, a copy of which was despatched and forwarded in my No. 184 of the 22nd July, 1898, it was arranged that the excess should be secured by the deposit of dollars to the full amount of the issue. [Ord 4/1 of 1899] in which this arrangement was embodied.
trades merely for the "deposit of coin or bullion" but I am advised that (the Hong Kong Coinage Order, 1899) "Coin" should be interpreted to mean "full legal tender coin" (such as would be available for redeeming the notes of the Bank), and not to include subsidiary coin.
4. It has not escaped my observation that for the purpose of estimating this security the value of subsidiary coin is reckoned at 90 per cent of its face value.