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would make the slightest difference to the Junk traffic.

Junks

he said came here for specific business and would continue to come whether duties were paid or not.

337

3.

We passed on to consider the other points

in the Memorandum.

ili was of course welcomed being an im-

-portant concession and the same may be said of most of the

other clauses.

vii. This clause was not discussed as it

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will be unnecessary if clause il is not accepted.

ix. It was suggested that the co-operation su-gested might be given if the Imperial Maritime Customs would reciprocate by preventing the smuggling of alcoholic liquor across the frontier into British Teritory.

X. It was suggested that the Government of Hongkong should have the right of refusing acceptance of any Officer unless approved by it. Sir Henry Way advocated the omission of the clause and the maintenance of the status quo. Mr. Stewart, Mr. Law and Mr. Clementi were of op on that it was essential to retain this clause in its original form ana that the amendment made in it, by Mr. Harris's letter of the 18th. February was inadmisible.

xi.

This clause is unnecessary unless clause ii is accepted and was therefore not discussed in detai).

zili. Messrs. Osborne, Law and Gresson

all agreed that statistics would be valuable. Mr. Osborne said it was continually found that some portion or other of the trade of this Colony had gone and no means existed of knowing why, or where it had gone to. His Excellency observed that he did not see how manifests could be relied on, or what obligation could be imposed on owners to declare details of "general cargo" unless as in other ports they had to declare them accurately for Customs purposes. Mr. Law replied that fines for a non-compli- -ance could be imposed. Sir Henry May observed that he had

always

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