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(iii) not to act on behalf of an enemy in drawing, accepting, paying, pre- senting for acceptance or payment, negotiating or otherwise dealing with any negotiable instrument;
(iv.) not to accept, pay, or otherwise deal with any negotiable instrument which is held by or on behalf of an enemy, provided that this pro- hibition shall not be deemed to be infringed by any person who has no reasonable grounds for believing that the instrument is held by or on behalf of an enemy;
(v.) not to enter into any new transaction, or complete any transaction already entered into, with an enemy in any stocks, shares, or other securities; (vi.) not to make or enter into any new marine, life, fire, or other policy or contract of insurance with or for the benefit of an enemy; nor to accept, or give effect to any insurance of any risk arising under any policy or contract of insurance (including re-insurance) made or entered into with or for the benefit of an enemy before the ont- break of war ;
(vii.) not directly or indirectly to supply to or for the use or benefit of, or obtain from, an enemy country, or an enemy, any goods, wares or merchandise, nor directly or indirectly to supply to or for the use or benefit of, or obtain from any person any goods, wares or mer chan lise, for or by way of transmission to or from an enemy country or an enemy, nor directly or indirectly to trade in or carry any goods, wares or merchandise destined for or coming from an enemy country or an enemy;
(viii) not to permit any British ships to leave for any port or place in an
enemy country;
(ix.) not to enter into any commercial, financial or other contract or
obligation with or for the benefit of an enemy;
(x.) not to enter into any transactions with an enemy if and when they are prohibited by an Order-in-Council made and published on the recommendation of a Secretary of State, even though they would otherwise be permitted by law or by this or any other proclamation. AND we do hereby further warn all persons that whoever in contravention of the law shall commit, aid or abet any of the aforesaid acts, is guilty of a crime and will be liable to punishment and penalties accordingly."
5. Provided always that where an enemy has a branch locally situated in British allied, or neutral territory, not being neutral territory in Europe, transactions by or with such branch shall not be treated as transactions by or with an
enemy.
6. Nothing in this proclamation shall be deemed to prohibit payments by or on account of enemies to persons resident, carrying on business or being in our dominions, if such payments arise out of transactions entered into before the outbreak of war or otherwise permitted.
7. Nothing in this proclamation shall be taken to prohibit anything which shall be expressly permitted by our licence, or by the licence given on our behalf by a Secretary of State, or the Board of Trade, whether such licences be especially granted to individuals or be announced as applying to classes of
persons.
8. This proclamation shall be called "The Trading with the Enemy Proclumnation
No. 2".
Bill is being introduced in the Imperial Parliament to make contravention of new proclamation misdemeanour retrospective as from August 4th further communication will be sent you when bill becomes law.
No. 15.
COLONIAL SECRETARY'S OFFICE,
HONGKONG, 11th September, 1914. GENTLEMEN,With reference to my letter of the 28th August, I am directed to address you as solicitors for the Chartered Bank of India Australia and China and to say that
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nothing in that letter contained must be taken as affecting the right of any neutral or allied bank established in this Colony to receive from the Chartered Bank any moneys paid to the Chartered Bank in respect of goods on which such other bank has a charge. In other words, so far as the Government is concerned there is nothing to prevent the Chartered Bank from paying immediately to any other local neutral or allied bank, in liquidation of any charge on goods in favour of such local bank, any moneys received by the Chartered Bank in respect of such goods.
I am to add that since my letter of the 28th August was written it has transpired that certain goods of one or more German firms still remain stored in the name of neutral or allied banks, and to say that it is recognised that such neutral and allied banks should be allowed to retain such goods and to receive any moneys paid in respect thereof, subject in the latter case of course to their general obligation with regard to remitting money to enemy territory.
I have, &c.,
CLAUD SEVERN,
Colonial Secretary.
Messrs. Deacon, Looker, Deacon & Harston.
Telegraphic.
No. 16.
From His Excellency the Governor to the Secretary of State.
17th September, 1914.
With reference to your telegram of 11th September it appears that practical result of paragraph 5 will be as follows. Local branches of Deutsch-Asiatische Bank and of German firms are practically in same position as British firms and can trade without supervision or safeguards even if their contracts are all in name of whole firm, Am I to understand that safeguards referred to in my telegram of 15th August and the liquidation of Deutsch-Asia- tische Bank referred to in my telegram of 14th August should be cancelled. Please reply as soon as possible.
No. 17.
COLONIAL SECRETARY'S OFFICE,
HONGKONG, 17th September, 1914.
Export Contracts.
GENTLEMEN,-In reply to your letter of the 10th September, I am directed to say that any German firms which have been granted the limited trading permission referred to in my letter of 28th August will be allowed to take up and pay for any goods which before the outbreak of war they had contracted to buy from or through any other firms established in the Colony, whether Chinese or otherwise, and will, so far as the jurisdiction of this Government extends, be allowed to export any such goods, provided of course that no goods are exported to German or Austro-Hungarian territory and that no money is remitted
to such territory.
Any such goods so exported may, so far as the jurisdiction of this Government extends, be shipped, insured and financed by British institutions.
Nothing in this permission shall be deemed to affect any right of capture at sea or the jurisdiction of any Prize Court or the rights of: any allied powers.
This permission is revocable without notice at any moment in the absolute discretion of His Excellency the Governor.
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