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$5,300,000, but owing to the enormous volume of payments which have to be made in Bank Notes that amount is not sufficient to enable us to cope with the demands of the commmity. The matter is one of public
convenience, and we trust that the reasons which prevailed with the
Colonial Government when they accorded to the Hongkong and Shanghai
Bank the priviloge of issuing notes in excess of the amount of their
paid-up capital,will be regarded as applying with equal force to this
Bank.
We, therefore, ask Your Lordships to consider our request that
we should be authorised to issue notes in excess of the total amount
of $8,000,000,as provided in our Charter,against the deposit of coin
or bullion, or coin and bullion, equal to the whole value of such excess
issue for the time being actually in circulation.
Under the conditions of the proposed arrangement it is manifest
that no advantage would accrue to the Bank if the privilege we now
ask for be accorded. The benefit to the Colony will however be of
considerable importance as cash payments will be greatly facilitated
and business transactions promoted generally.
As arranged with Sir Edward W.Hamilton,we telegraphed to our
Hongkong Manager,asking him to obtain from the Local Government, to be
forwarded through the Colonial Office, a written memorial in support of
this application.
I have the honour to be,
My Lords,
Your most obedient arvant,
(Sgd ) J.Howard Gwyther
Chairman.