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points, and to consider favourably any application for the services of retired naval and military officers and other ranks.
14. The Committee suggest that, since it has been decided that the internal protection of ships against piracy is the responsibility of the Shipping Companies, any scheme which is evolved should be based on the following principles :-
(a) That the organization set up should ultimately be entirely independent of
the Imperial and Colonial authorities.
(b) That the whole cost, including that of initiating the scheme, should be borne by the Shipping Companies making use of the organization, and by them alone, in proportion to their demands on it, the distribution of the cost to be arranged amongst themselves.
15.
It should, perhaps, be pointed out that the scheme must include provision for shipping which at present embarks regular guards at places other than Hong Kong, such as Singapore and Shanghai.
16.
CONCLUSIONS.
The conclusions of the Oversea Defence Committee submitted for con- sideration by the Committee of Imperial Defence may be briefly summarised as follows:
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(a) It is not for the Committee to suggest any modification of the Cabinet decision to withdraw regular naval and military guards on the 31st March. If, however, the continuance of these guards for a further definitely limited period is considered desirable, the Committee propose that should be subject to the following conditions:-
(i) That the Shipping Companies evolve an efficient scheme and agree to bring it into operation at the earliest possible date, this date to be fixed by the 1st April.
(ii) That the full cost of any naval and military guards supplied after the 31st March be borne by those Shipping Companies which employ them.
(b) That any practicable scheme should emanate from the Shipping Companies, but the Committee suggest that, in order to expedite progress, His Majesty's Government might inform the ship owners, both in London and in Hong Kong, that they would be willing to advise them, and to consider favourably any application for the services of retired naval and military officers and other ranks.
e) That any organization which is set up should ultimately be independent of the Imperial and Colonial authorities, and that the whole cost, including that of initiating the scheme, should be borne by the Companies in pro- portion to their demands on it.
(Signed)
2, Whitehall Gardens, S.W. 1, March 10, 1930.
G. N. MACREADY, Secretary,
Oversea Defence Committee.
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APPENDIX.
Telegram from the Officer Administering the Government of Hong Kong to the
Secretary of State for the Colonies, dated February 21, 1930.
(Confidential.)
YOUR telegram of 1st February, Confidential: Anti-piracy guards. I invite reference to my despatch of 5th January, 1929, Confidential. I adhere to views expressed therein, and consider that shipping companies have not taken adequate steps in the meantime to provide against position which will arise on withdrawal of Naval and Military guards. I agree generally with the views expressed in anti-piracy committee's report of 2nd July, and Haiching piracy has not altered my views.
The attempt in that case was rendered possible by failure to secure certain opening by which pirates gained access to grilled area.
I agree with Minister's views on this piracy expressed in his despatch of 12th December (1789). The shipping companies are at last alive to their position, and I received on 13th February a request to receive a deputation for the purpose of considering a scheme, then for the first time put before this Government, that a special force should be created of good class fighting men from India with an establishment of British or foreign n.c.o's, the whole to form a separate unit under its own commanding officer and placed for training and discipline under Naval Commander- in-Chief or G.0.C., the cost to be met in the first instance by this Government and recovered by a surcharge on all shipping visiting the Port, assisted by a grant-in-aid from the Imperial Government and a contribution from the Singapore Government and other unspecified sources.
I received the deputation on the 17th February and found that the scheme had only been considered in barest outline. No idea of the cost had been obtained, nor did the details involved seem to have been considered. The number of men required was tentatively put at 400, with 35 white n.c.o.'s and 4 white headquarter staff. It was pointed out that if all shipping were taxed, all shipping passing through pirate zone would be likely to demand guards and 400 might prove insufficient.. I declined to commit this Government to the expense of establishing such an organisation on the chance of recovering its cost later on without the fullest consideration. It became evident in the course of the discussion that strong opposition might be obtaining to any tax which would increase charges on shipping not interested in anti-piracy guards. I am of opinion that the scheme is altogether too nebulous and too expensive to be undertaken at a moment's notice. I pressed on the deputation the view that only scheme admitting of prompt application was a development of the former system of Indian guards, possibly supplemented by white n.c.o.'s, and it was left to deputation to confer with Inspector-General of Police, who was present at the discussion, with a view to evolving a practical scheme at the earliest possible moment. I consider that shipping utilising guards must bear the cost of the scheme.
Even this scheme will take time to evolve, but it seems to offer only practical solution to difficulty in which shipping companies now find themselves. It may even be possible to develop scheme in time into a permanent force on the lines suggested by shipping companies, but I am myself doubtful if this will be found necessary. The possibility of utilising Weihaiwei Police Force on rendition of Weihaiwei was mentioned, but I am without information as to when the force might become available.
There remains the question of what is to be done between the 1st April and time when Indian guards can be supplied in sufficient numbers. To meet this difficulty I can only suggest that if, as Minister's despatch No. 1789 implies, it will still be possible to supply military guards, these should be continued but only on payment of full cost (see paragraph 5 of enclosure 3 to my despatch of the 5th January, 1929). It might well be disastrous to allow period to intervene without guards, and cost of military guard would be strong incentive to shipping companies to expedite less costly measure.
Copy sent to Pekin, Canton, Shanghai, G.O.C., and Naval Commander-in- Chief.
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