! Hong Kong.

480 Government house.

power many would have left the Colony for Macao, Canton, etc., before it came to a case of Hong Kong being blockaded and probably bombardment. A general rising of the Chinese, which is the other contingency in which the European women and children would require protection, is one which is not likely to arise in view of the large proportion of the wealth of the Colony that is in the hands of Chinese, whose interests are thus on the side of law and order.

10. The 10th paragraph of G.O.C.'s letter refers to the rapidly increasing numbers of Chinese in the Island in communication with such a rising. If it did occur all business in the Island could be suspended and every European available to suppress it. The more of them that are accustomed to the use of arms and that can be enrolled into a military body of an Emergency the more promptly could a serious rising be got under. The steps that are being taken to increase the strength of the Volunteers and to form from British subjects between the ages of 35-50 a Volunteer Reserve Association to be based in Hong Kong and to be enrolled as Volunteer Reserve Corps is a move in this direction. Shortness of water supply is not likely to be specially felt in case of war when there would be a diminution rather than an increase of the Chinese population. The Colonial Government is, as you are aware, carrying out large projects for the increase in the supply at present.

11. My letter to the G.O.C. of the 8th August and his to me of the 9th instant sufficiently explain the points of the scheme with which they deal. I will consider how far the Civil government can meet the wishes of the General on the notion of supply during a crisis and staff.

12. With regard to the scheme itself, I would draw attention to the care and completeness with which the Military Part (Chapters I-V) have been brought up to date and revised in accordance with the remarks of the Colonial Defence Committee, by the Major General Commanding. The "action by the Civil Authorities" Embodied as Chapter VI is capable of some improvement which will be made in the next revision, but for which I have not thought it desirable to delay the submission of the present revision. It will be necessary to detail in it the assistance which the Naval Authorities are asking should be given by the Civil government towards making provision for 1000 wounded British officers and sailors that might in certain circumstances be landed at Hongkong from the fleet.

13. I may be permitted to point out what appears to me to be a faulty matter in the arrangements of this as with other Colonial Defence Schemes. I would suggest that Communications by road etc. (Chapter II, C (F)) should not, as it now stands, come in the middle of the Defence Organisation to which Chapter II is devoted. It would seem better that it should come in Chapter I which deals with the permanent Military forces and that it should follow the description of the Colony which in most schemes comes after.

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