(D)

H.B.M.CONSULATS GENERAL.

37

Xo. 31.

(W 11831/11322/17)

SAIGON, COCHIN-CHIRA,

November 19th, 1926.

sir,

I have the honour to invite reference to my despatch

No.30 of November 9th, 1926 relative to the imposition by

the Governor of Cochin-China of a higher tax on foreign

firms than on French Business Houses.

2. In reply to my protest the Acting Governor forwards

me the enclosed Cireular Letter which he has addressed to his

subordinate officials as to the methods of collection of this

Tax.

3. First of all it appears that the principle of the

taxation is not altered but even the idea of differentiation

in the taxation of foreigners is more firmly embedded.

modification put into force is purely temporary and in my

opinion as will be shown, as far as British subjects are con-

cerned, completely illusory. The enclosed circular may be

cancelled at any moment by the present Acting Governor (who is

being transferred to Cambodia next month) or by his successor.

Leaving on one side for a moment the Treaty aspect

of the case and assuming that British Subjects are entitled

to the preferential treatment, I should like to point out

that the British subjects, whom this legislation will mainly

affect, are almost entirely uneducated Indians from Southern

India with a few Chinese born in Singapore or Hong Kong. It

looks

His Majesty's Principal Secretary of State

for Foreign Affairs,

Foreign office,

London.

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