for by far the greater portion of the revenue of the State is contributed by the Chinese in the form of Customs duties, Licenses and various other taxes.
5.
Your petitioners venture to cisim, without fear of contradiction, that Chinese are the pioneers in the business of timber cutting in British North Borneo. It was first started by a firm called Kwong Fat & Co. established by
This firm ex- both Kwong Teo Heng and Kim Eng Watt some 30 years ago. ported the timber for Hongkong by sailing vessels. After much time, labour, and capital had been expeaded on the enterprise, it eventually failed, and the said Kwong Teo Heng and Kim Eng Watt did their timber business separately. The Kim Eng Watt who, after many vicissitudes of fortune, have survived to this day. After this came the Shanghai Kwong Heng Co, the Kwong Wo Co, some other Chinese firms, (all these firms failed); then the China Borneo Co., Ltd. the North Bornes Trading Co., the Shing Kee Co., the Yong Soon, and the Yee Yee Timber Co. These are all the firms doing timber business at present.
and
6. Between the time of Kwong Fat & Co. and the present day, it is incalculable how much capital and energy have been devoted by the Chinese for the development and expansion of the timber business.
7. Until just before the war the returns obtained by Chinese Timber Merchants as a whole from the timber business have not been commensurate with the trouble and capital expended. But owing to and as the result of the war, which brought about a shortage of tonnage for commercial purposes all over the world, and create an abnormally low exchange in British North Borneo, they have done much better, and, in view of the bright prospects of timber trade generally in the future, they have been looking forward at last to reap some of the legitimate fruits of their patient labour, and have sunk more capital into the business.
8. The announcement, however, of the grant by the British North Borneo Company of a monopoly to the British Borneo Timber Co., Ltd.
(hereinafter referred to as the Timber Company") which has only just been formed, some 40 years after the Chinese first started the business, for not less than 25 years, to cut timber for export on all State-lands, subject only to timber licences or permits granted prior to January, 1920, came to your petitioners as a verit-
able thunder-bolt.
9.
Your petitioners at first could scarcely believe the announcement, with its serious implications to Chinese Timber Merchants, who are virtually condemned thereby to an artificial death.
10. Your petitioners have now seen a copy of the prospectus of the Timber Company and they venture to annex a copy thereof to this petition, for
the information of the Court of Directors.
11. On the 7th May. 1920 the Chinese Chamber of Commerce addressed a protest to His Excellency the Governor, a copy of which together with His Excellency's reply are appended below.
His Excellency
Sandakan, 7th May, 1920,
A. C. Pearson Esqr, Companion of the Most Distinguished Order of St. Michael and St. George, Governor and Commander-in-Chief of the State of North Borneo and its Dependencies,
Your Excellency,
SANDAKAN.
Letters have been receivel by this Chamber from all
the Chinese timber traders in Sandakan, viz: the Receiver of Kim Eng Watt Estate, Messrs. Sing Kee alias Man Woo Loong & Co., Yong Soon and Yee Yee & Co., alias Kim Kian Hing, all bitterly complaining of the hardship and great loss they would sustain owing to the receipt of a letter from the Acting Conservator of Forests, a copy of which is attached for your Excellency's perusal.
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