49
C. O.
Mr.
Mr.
Mr.
Sir C. Parkinson.
Sir G. Tomlinson.
Sir C. Bottomley.
Sir J. Shuckburgh.
Permt. U.S. of S.
Parly. U.S. of S.
Secretary of State.
DRAFT.
The obligation that persons having
authority to sign on behalf of the
Company should be British subjects should
be deleted, as it might be circumvented
by the granting of the necessary authority
to British subjects who would not in
fact exercise the same. It would be a
matter for the Registrar of Companies
or his informants to observe who in fact
sign on behalf of the company. (3) In
regard to private companies incorporated
in Shanghai. The words "voting members"
should be substituted for "shareholders",
and the words "paid-up shares bona fide
held for value" for "capital" in the
definition of the restrictions. (4) In
regard to private companies incorporated
within the British Empire. The greater
part of the capital should be owned by
British subjects.
These proposals were forwarded
to the Governor of Hong who saw no
objection in principle.
The Attorney-
FURTHER ACTION.
General at Hong Kong furnishes a
memorandum, and a draft Order in Council
which he suggests would carry out
Sir John Brenan's proposals (see
53680/36 4.19
enclosure to (8) on this file).
It is pass ble
I feel on the whole that the
lack of objection in Hong Kong is founded
rather on legal than on economic grounds,
since Sir John Brenan himself admits that
it might affect adversely the receipt of
fees