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least in the early days, that direct assistance with arms and money was the best method of dealing with the situation.

5.

I attach a most interesting memorandum by Mr. Kotexall, in which he discusses the origin of the crisis, outlines the measures taken to meet it, and makes recommendations as to action that might be taken in a future emergency. The memorandum has been most carefully prepared, the facts are accurately stated, and Mr. Kotewall's conclusions are generally sound.

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6.

The memorandum gives the names and enumerates the services of the Chinese who have

actually assisted the Government, and it will perhaps be sufficient for me to say that I endorse Mr. Koterall's testimony of their good work.

As regards Europeans, it is difficult to single out individuals for special mention, seeing that the whole Community placed itself unreservedly at the disposal of the Government, but I may say that

Mr. P.H.Holyoak, the senior unofficial member of

both Councils,

gave his time and services unsparingly, while Mr. G.M.Young, 0.B.E., Manager of

Mesara. Butterfield and Swire, performed most useful

work as Labour Controller. Mr. A.G.M.Fletcher,

Assistant Colonial Secretary, rendered services which

cannot be over-estimated. In the case of any other officer I should have expressed admiration and surprise

at the work which he has been able to accomplish in

the way of organization and co-ordination. In the case

of Mr. Fletcher I can only say that he acted in the

manner which I expected. I have on many occasions drawn your attention to the services of this officer,

whom

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