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scheme is likewise acceptable, subject, of course, to the
ultimate approval of the Chinese Government.
The Inspector General is strongly of opinion that
the plan thus drawn up is very favourable to Chinese in-
terests! It concedes to China the unusual privilege of
permitting the Chinese Customs to function in the Island
of Hongkong; to reopen the sea-Stations close to the
Island of Hongkong; and allows Customs' Revenue vessels
to patrol British Waters! In return for this it is pro-
posed that Hongkong vessels should be allowed to parti-
cipate in the privilege of the Inland Waters Regulations.
At first sight this seems a great concession, but on
closer examination, it is seen that the concession is
conditional upon the re-establishment of the Customs sea- Stations close to the Hongkong Harbour, and, this being so, the Chinese Customs in Hongkong would be in a position to examine, control and collect Duty in respect of Inland waters vessels in Hongkong just as effectively as the
Canton Customs do in Canton! So the Chinese Revenue is
thus fully protected! It is well to recollect, too, that if China expects concessions, she is expected to concede concessions! But in this case Hongkong gives China more than China gives Hongkong!
The Inspector General also interviewed members of the British Chamber of Commerce in Hongkong, and pointed
out to them all the features of the situation. At first
many of them objected to the proposal that the Chinese Customs should function on British soil, but the Inspector General overcame their objections and, he thinks, succeed- ed in creating a sort of public opinion favourable to Chinese Customs' interests!
The...