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300
efficient management possible for all concerns operating in China
under British law.
H. M. Secretary of State now desires me to consult you and the Crown Advocate on the subject. I should be glad to have information as to cases which would be likely in your opinion to arise, if licences were obtainable in special circumstance; se to whether it is possible to judge whether many applications for such licences might be anticipated; and as to whether the grant of licences might prove invidious. With the modern tendency towards industrial production in China, and the spread of distri- buting agencies throughout the country, it appears to me that a careful and far-sighted decision on this subject may have con- siderable influence on future development, and I am anxious that all possible evidence should be laid before H. M. Government before a decision is reached.
Will you be good enough to discuss the question with the Crown Advocate, and to advise me of your views in the light of your experience in Shanghai. I should be glad also if Mr. Fox would express an opinion, obtaining should he consider it desirable the views of the committee of the British Chamber of
Commerce.
In the meanwhile please inform the British-American Tobacco Company that H. M. Government will await the opportunity of discussing the question personally with Sir John Jordan
before reaching a final decision in regard to the issue of a supplementary Order in Council.
I am,
etc.
Sd.
M. V. Lampson.