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down by you, and which would be easily enforced. No merchant ship would be allowed to use W.T. in the waters of the Colony, and all commercial messages would be received and transmitted by the shore station. Your Excellency will see that it is a very different thing when dealing with what are practically a number of independent stations, each working under its own company and under no central control.

5.

It is however not my wish in any way to hamper the wireless communication with the port, and I would therefore suggest that an understanding should be obtained from each company, to whom permission to make use of Wireless in the waters of Hongkong is granted, that, under penalty of withdrawal of this permission, the Naval Silence Sign (#***

-) be obeyed.

This sign will only be made when it is of importance for H. M. Ships to get messages through without interruption, at the conclusion of which the "message complete sign* (..................) will be made, when commercial messages can be again continued.

6.

I think that this arrangement will be better, both for the shipping companies and ourselves, than the practice of reserving the first half of each hour for naval messages, this would lead to the overlapping of messages, disputes about time, etc.

7.

I would be glad to have Your Excellency's views on the subject, as well as those of the Chamber of Com- -merce, and if agreed to I suggest that a trial be made under these conditions liable to terminate should it be found not suit- -able.

8.

In conclusion, I would add that, in my opinion, the only satisfactory way of settling the whole question, is the erection of a Commercial Shore Station at Hongkong.

I have etc.,

(Sd.) A. L. Winsloe,

Vice-Admiral.

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