66
Chief were explained to Firm.
Following conclusions arrived at :-
(1) Firm is prepared to take part in a Northern communication scheme if it can be organised.
(11) Usual system of guarantees for passengers at Shanghai is useless. Passes can be exchanged after issue by lodging house keeper.
(111) Obeying Chinese instructions at Amoy, Swatow and other ports almost impossible.
(Iv) Searching of passengers impossible without driving trade to other companies.
(v) adequate searching of ships impossible. Hong Kong police admit this also.
(vi) Firm agree to go further into question of mustering passengers by ships' officers and guards after sailing.
(vii) Placing of passengers packages under look and key not possible without driving Chinese trade away.
(viii) Tungshow" needs more guards.
(xi) Mr. Swire is of firm opinion that only real solution to problem is provision of adequately disciplined troops as guards who would be effective deterrent to piracies. He is of opinion that is destroyer intercepted ship European passengers and officers would be shot, arms thrown overboard and pirates would mix with the Chinese passengers with no European witnesses left. I made no comment except to agree adequate guards essential. Point for consideration is present cost of running destroyers.
(x) Firm have offered $2500 reward for apprehension and (?) of pirates provided Canton Government will offer same reward. To be paid when pirates have been identified by firm's representa- tives. Consul-General Canton agrees and Colonel Leung will give reply tomorrow morning, Tuesday. This should make at least places on the coast unsafe.
#
At the same time I made the following signal to the Commodore, Hong Kong :-
"I am not repetition not prepared off hand to admit that adequate
grilles can not be fitted in ships but perhaps there are isolated ships in which this is the case.
Are you aware that Butterfield & Swire lost a great law case against the Admiralty a few years ago, when the firm claimed that that the Admiralty were responsible for the safety of ships against internal piracy.
They appealed against the verdict and lost the appeal.
5th February, 1935."
to which he replied as follows :-
"Tungshow' is isolated case being old type of ship.
ship could be grilled if Board of Trade would allow. read the papers on the law case.
#
Side of I have
On the 8th February I passed the following personal
message to Sir John Brenan :-
#
Commodore HongKong has held an enquiry into "Tungshow" case at which Mr. Swire was ɑresent. I have not yet received Commodore HongKong's report, but it appears that more numerous and more efficient guards should be provided, and more complete grilling
Latter somewhat difficult in special case of "Tungchow" but this could be overcome by persuading Board of Trade to relax
It appears to me that the certain regulations on China Station.
firms should take steps to rectify the above.
Commodore, HongKong's other recommendations about examining passengers on board, etc., etc., have already been signalled to you by my direction in order to afford you every possible
1.