CONFIDENTIAL.

Enclosure No. 1.

VISIT OF MR. FUNG TSUK-MAN TO HONG KONG

Conference at Government House

19th September, 1927.

Summary of Conversations.

PRESENT: His Excellency the Governor, Hon. Colonial Secretary, Hon. Secretary for Chinese Affairs, Mr. Fung Tsuk-man, Mr. Liang Shih-yi, Mr. Luk Wan-chau, Sir Shouson Chow and Mr. R.H. Kotewall.

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HIS EXCELLENCY, in extending a cordial welcome to lir. Fung Tsuk-

man, says that he will be pleased to discuss with him any

matters that will conduce to the promotion of better relations

between Hong Kong and Canton, and the improvement of trade

between these two places. He considers that three things are

necessary for achieving these objects. The first is the

establishment of a close personal contact between high offi-

cials of the two Governments, and the second is the extirpa-

tion of brigandage and piracy in Chinese territories. The third is adequate control of labour. The Hong Kong Govern-

ment will be please to co-operate with the Canton Government

in every way it can. The independent operations against

pirates in Chinese territories, which have recently been

taken by the British Authorities, have been due to British ships having been pirated, and no redress having been forthcoming

from the Canton Authorities. It is the duty of the Canton Government to suppress pirates within its jurisdiction, and the British Government, while willing to help, in no way desire to interfere, if they can help it. His Excellency then expresses his grateful thanks to Ir. Liang Shih-yi for

having arranged this friendly meeting.

MR. FUNG TSUK-MAN thanks His Excellency for his cordial welcome,

and says that he wishes to explain, in the first instance,

the nature and purpose of his visit. He pays his respects to

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