Any further communication on this subject should be addressed to--

The Secretary,

War Office,

London, S.W.,

and the following number quoted.

083/4639 (M.0.1).

Sir,

SECRET.

War Office,

214

London, S.W.

20th December 1911.

I am commanded by the Army Council to forward for the

information of Mr. Secretary Harcourt two secret letters, Nos. K/379/4, dated 1st September 1911, and K/378/6, dated 7th

September 1911, from the General Officer Commanding the Troops,

Hong Kong, with which are enclosed copies of communications which,

have passed between the General Officer Commanding the Troops

and His Excellency the Governor of Hong Kong on the subject of

the unrestricted sale or lease of land, both Government and

private, to aliens.

2. The Army Council realize that the sale of land

in Hong Kong should not be restricted in a manner to interfere

unduly with the rights of individuals or the development of the

commercial prosperity of the Colony; and in the case of the

proposal to lease an area of sea frontage on government land to

a Japanese coaling company, which was forwarded with your letter

No. 12807/1911, dated 2nd September 1911, the Council raised no

objection from a military point of view, provided that a right

of pre-emption of the coal stored, in the event of strained

relations or war, was made a condition of the concession.

3. The Council are, however, of opinion that in certain

cases the unrestricted sale of land might seriously endanger

the safety of the defences of Hong Kong, the strategical

importance

The Under Secretary of State,

Colonial Office, S.W.

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