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Mr. Moss reported that the Governor had
negatived a scheme propounded by Mr. Lloyd, the
Superintendent of the Imports and Exports Office of the
Colony, for the Colonial authorities to undertake to
furni sh to the Chinese Customs all the information
they could reasonably hope to collect for themselves
if they were allowed to function in Hong Kong and to
facilitate preventive measures. Sir C.Clementi felt
that the risks of failure to cope adequately with smugglers and of resultant disappointment and friction
could not be readily undertaken. It seemed to Mr.Moss,
however, that some of those who attended the conference
found attractions in the scheme.
Mr. Moss reminded His Majesty's Minister
that in these negotiations there is a third important
party to be considered the Provincial Government
of Kwangtung. So far as his information went, the
Canton authorities would oppose the conclusion of
an agreement on the lines suggested either by Nanking
or by Hong Kong. Canton merchants would be jealous
of the privileges which the Agreement would confer
on Hong Kong while at the same time there would be no
gain for the Provincial Treasury, since under the
present system Customs revenues are remitted to the
central government. "If an Agreement is to be
concluded with the Central Government", Mr. Moss
suggested, "care should be taken that it be signed on
the part of the Chinese not only by representatives of
Nanking and the Customs, but by representatives of
Canton, and that requirement
Nanking beforehand".
should be made clear to
The