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for the purchase of the ship. on the formation of the copy
an Agreement was in accordance with the provisions of the
Company's Memorandum and Articles entered into dated the Eth.
May 1916 between Mr. MacDonald and the Gempeny duly filed with
the Registrar of Companies providing for the transfer of the
steamship to the Company in exchange for fully paid sharee. The
effpot of the registretice of the Company ard of this Agreement
were that the Company became entitled to the ship. je this
ecourrad prior to the Restriction Amendment Act of 1915, the
Company had on the agreement being entered into a right to own
and be registered as the owner of a British skip in spite of the
fact that the mejerity of the voting power lay in the herds of
fertiga shareholders. And had it not been for difficulties
raised to the registration of the Bill of Sale by the Australian
Authorities the ship would have been transferred to and registered
in the name of the Company there before the Amendment Act whe
passed.
Subsequently to the incorporation of the Company
and the execution of this Agreement, the British ships Transfer
Restriction Amendment Act was passed and this rendered it necessary
before the Company could be registered in Hongkong as the owner
of a British ship, te establish that it was not a foreign
contrelled Company. In view of the fact that the two Chinese
shareholders held the majority of the shares the position
appeared to be when the Act above referred to was passed that the
Company could not be said, at anyṭrate with certainty, to be not
foreign centralled. Amendmente have socordingly been drafted te
the Company's Articles and a meeting has been called of the
Company to alter ite articles in accordance with such amendmenta.
These amendments provide that the shareholders shall have no
centrel whatever over the exercise by the Directers of their
discretien and authority in managing the Compery and particularly
in their central and management of the ships. These amendments
it it considered entirely preclude any question of this Company
being a foreign centrolled Company . The object of the Aot abave
referred te was to prevent ships being owned during the war by
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