7.

Enclosure 5.

635

naturally object to such an arrangement being imposed upon them now. I have personally interviewed several members of that minority to which Dr. Ho Kai alludes in his speech. I found their objections to the Bill to be rather sentimental than real in character. They admitted that its object was good and not unreasonable. It was hardly to be expected perhaps that the Bill should meet with no objection whatever. It would be equally impossible to expect the European Community to unanimously approve the policy which this Government has adopted from time to time in dealing with the Chinese Community.

8.

I enclose a sketch map showing the District reserved by the Ordinance. The portion tinted blue is what is at present known as the Peak District. The lowest house in it is just above the 788 foot contour. The area tinted red has not yet been built upon. But seeing that almost every available site in the Peak District has been taken up and that the increasing European population finds the greatest difficulty in obtaining houses to live in, this area has been included to give room for that expansion which the future will demand.

There are altogether 90 owners of house-property in the Peak District. All but 10 of these have signed the Petition either themselves or by their representatives in the Colony. Of the remaining 10 one is a Chinese who does not oppose the Ordinance. He invested in house-property at the Peak merely as a speculation. Should he desire to reside there in the future I have informed him that he will, in consideration of his being an owner, be granted exemption. He is the only

9.

Chinese owner in the District. Another - an American has not signed for private reasons although he approves of the Ordinance.

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