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or ordinance of the Government of Hongkong to override, interfere
with or confiscate existing or future British marine or riparian
rights in China under the guise of following a precedent set by a
British government in a manner which would be likely to subject the
British interests concerned not only to serious financial loss but
also to the complete frustration of enterprises which have been
built up and developed with great advantage to British trade over
a period of many years.
13.
If separate ordinances were introduced for any public
works of a major nature the opportunity would be created of pro-
viding such safeguards for the interests concerned as the proposed
works would reveal to be desirable in a manner which would render
it difficult for the Chinese authorities to take advantage of them.
I am further desired to draw attention to the fact that
the existing and future prosperity of Hongkong is largely dependent
on the fact that the Chinese regard it as a colony in which their
money can be invested with perfect security and that large sums of
money have been invested by the Chinese in the Colony in many
directions in recent years with this object of security solely in
view. Any ordinance such as the proposed Bill, comprising the
extraordinary powers conferred on the Government as are at present
contained in it, would be likely to undermine the sense of security
above alluded to and correspondingly diminish the confidence the
Chinese have hitherto entertained regarding the safety of the in-
vestments they have made in the Colony.
14. I am directed to add that the Committee would have pre-
ferred to have consulted the Hongkong General Chamber of Commerce
before submitting its observations on the proposed Bill. In view
of the delay this would entail the Committee has thought it desir-
able it should forward its observations to you without waiting
till it had communicated with Hongkong.
Should it be necessary, at a later date, when the Com- mittee has heard from Hongkong, to supplement its present