auction stocks. The commitments of the banks amounted
to 40,000,000 taels (say,£6,000,000), of which share of
Hong Kong and Shanghai Bank is over £800,000.
Substitution of uncertified for certified opium
391
would encourage smuggling and afford no remedy, while sus
pension of sales even temporarily would undoubtedly pre-
judice future enforcement of agreement with China, but
situation seems to demand some alleviation.
If sales were
suspended it might be perhaps possible to arrange with
Chinese Government that balance unsold this year should
be added to next year's fixed import.
Every possible pressure has been exercised on Yuan
Shih-kai and the Government generally. They are, I be-
lieve, quite sincere in their desire to uphold opium
agreements, but they have not power to enforce them in
Cheklang and parts of Fukien, where there are strong
anti-opium societies which practically ignore instruc-
tions from Peking.
(Sent to India).