DRAFT
SHANGHAI.
March, 1920.
548
t
Sir:-
China (Companies) Amendment Order in Council, 1919
and
The British-American Tobacco Company (China) Limited.
I have to acknowledge, with thanks, your letter of the 12th instant written on behalf of the above Company informing me of Sir Arthur Churchman's arrival in Chine, of the visit of Viscount Acheson and yourself to Peking, and of the suggestions then made to Mr. Lampson that, by a further
Companies Order in Council, H. M. Minister might be given
power to grant licences to 'China Companies' to employ non-
British Managers under special circumstances, and under
certain conditions.
While recognising the difficulties which the British
American Tobacco Company have, in view of the nature of their
business in China, in complying with the provisions of the
Order in Council of 1919, it is my duty to point out to you
that, in my opinion, any alteration permitting non-compliance
with its provisions even in the case of one China Company,
would inevitably tend to render nugatory the safeguards which
have been embodied in the new order in Council, drawn after
years of careful consideration, whereby provision has been made that Companies registered in China enjoying British recognition and protection shall in fact be there under
British management.
The Crown Advocate agrees with me in thinking that the suggested appointment of Sir Arthur Churchman as Chairman of
B. Kennett, Esq.,
British-American Tobacco Co., (China) Limited.
the
: