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broken or threatened in any form. The only cause of anxiety was caused by a rush on the part of the Chinese population to withdraw deposits from Chinese and Foreign Banks. Appeal was made by some of the Chinese Banks to Government for assistance. This I could not give and a crisis was averted by the exertions, in pacifying the public mind, of the Secretary for Chinese Affairs, backed by the whole-hearted and invaluable support of the leading members of the Chinese Community.

26.

Representatives of this Community waited on the Secretary for Chinese Affairs on the 8th instant and offered (a) to enrol Special Constables and a Volunteer Corps from those among it who are British subjects and (b) to subscribe to a fund in aid of the war chest. Mr. Hallifax told them that this was the most splendid message he or any of his predecessora had ever been asked to convey to a Governor of Hongkong. I replied that I appreciated deeply their offers and I said I would lose no time in reporting them to you. In the meantime, while accepting a few candidates as Special Constables, I expressed the opinion that the best service the remainder could render would be to pacify the public mind and prevent the dissemination

of wild rumours.

Of these latter there have been many with the result that some 40,000 to 80,000 Chinese have already left the Colony. They are, however, for the most part women and children or persons whose presence does not make much difference to the commercial interests of the Port.

27.

Yesterday Mr. Ho Tung offered in the event of a shortage of rice to charter ships to convey rice from Bangkok at his own cost and to sell it here at cost price. I have thanked Mr. Ho Tung warmly for this splendid offer, of which I am glad to say it is not necessary to take advantage at present.

28.

I have received many other offers of assistance. The Roman Catholic Bishop placed all his clergy at my disposal.

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