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wide knowledge and experience.
Yuch views as I have stated
above are put forward with all diffidence.
I have felt
all along that we must judge this question strictly on its
own merits, and that a solution can only be found by re-
opening discussion of it on a new basis, having in mind
solely how best the legitimate desire of the Chinese Gov-
ernment to protect its revenues from the dangers inherent
in the geographical position of Hong Kong in its relation
to the coasts of China can be reconciled with the equally natural desire of the people and Government of Hong Kong
not to allow the functioning of a foreign fiscal admini s-
tration in its territory in a manner calculated to impair
the existing political rights and status of the Colony
A settlement of the question on these lines undoubtedly
demands a high degree of patience and goodwill, but I feel that it should not be impossible of attainment if approach-
ed on both sides in such a spirit.
I have the honour to be,eta.,
(agd) Miles
.Lampson.