from the Govr. upon this subject which is

under consideration in consultation with

Bd of Trade

The

the Foreign Office and redeury

letter might also refer to the letter

addressed by the F.0. to John Swire & Sons

on the 21st of January (enclosure in (1)) and

say that we should be glad to receive the

statement of fines levied in 1932 as soon as

possible.

5 E.W.

W. Surre

the quesor

28.1-33

Walder

30.1.33

30.1.33

Further as to smuggling.

he weak point of the hipping Companies

case is that they allow passengers and crew

to take on board articles on which no freight

is paid, and by this concession they either

obtain their crews at lower wages or avoid

strikes or boycotis. Amongst these articles

there is obviously a strong presumption that

many will be dutiable and will be embarked

with the intention of smuggling. hen such

dutiable goods are found at a Chinese port the

authorities fine the hipping Company. It

is obviously, therefore, the interest of the

Company to prevent dutiable articles being

shiped without their knowledge. The ong

Aong overnment have gone very far in making

it unlawful for any person to place any cargo

on board any ship in the "olony without the

consent of the owners. It seems to me that

6

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