NOORT 4X8
(130260/210/K)
Sir:-
42225
IREC
REG 4 SEP 16
FORZIGH OFFICE
TSEP.1916
535
With reference to your despatch No.89 Foreign Trade,
of May 30th last, with regard to the position of the dritish
American Tobacco Company under the China (Companies}
Order in Council, I am directed by Viscount Grey of Pallo-
don to inform you that he is advised that the Company
in question, being a 3ritish Company but neither a China
nor a Hongkong Company, is not subject to the provisions
of the Crder in Council which relate only to China
Companies, as appears to be suggested in the Crow Advocates
memorandum transmitted in your despatch.
As regards the question put by Mr, Kemett as to
whether under Article 15(1) of the Order in Council
the Company is bound to comply with all the provisions
of the Hongkong Companies Ordinance of 1911 as amended
or only with those contained in Part IX, it appears to
Lord Grey that the latter alternative is correct, as Part
IX contains the conditions which have to be complied with
by such companies (termed "Hone Companies" by Mr. Kennett)
and it appears impossible that the intention of the Order
in Council oan have been to apply to "Home Companies" in
China provisions of the Ordinance which do not apply to ther
in Hongkong, må Mr. Kennett's argument that it would
in fact be impossible for such companies to comply with
these requirements appears to be sound, The point is
Bir E, Fraser K,C,K,0,.
Shanghai.
however