Enclosure 2 in Shanghai despatch to Peking Number 51 of February 4th, 1936.

Mr. Laab.

Kinute by Crown Advocate.

10

I am returning attached the Consul-General's draft

despatch to H. E. the Ambassador written in connection

with the registration of The Overses-Chinese Banking

Corporation Ltd's Launch at Amoy.

As far as I can see, there is no comment which I can

usefully make in connection with this draft despatch and

I agree with the Consul-General

(1) That the Bank, being incorporated in singapore,

is entitled to have the launch registered under Section

1 (d) of the Merchant Shipping Act.

(2) That if the launch were to engage in the trans-

portation of the Bank's employees between Kulangau and

Amoy, it would, in my opinion, be used for purposes of

trade and would consequently require to receive the Consul's

certificate under Regulation 7 of The Amoy Consular

District General Regulations, 1913.

(3) That notwithstanding the provisions of Regulation 7

above referred to, by kegulation 1 of The China Forts

(Amendment) Regulations, 1928, the Secretary of State is

at liberty to direct that British protection shall not be

accorded to the launch and that a Consular certificate

under the Regulation should not be issued in relation

thereto.

In view of the fact that British protection has been

withdrawn from the Bank in China, I consider that His

Majesty's Secretary of State might well be asked to

exercise a discretion against the vessel under Regulation 1 of The China Forte (Amendment) Regulations, 1928.

Shanghai,

3rd February, 1936.

(d) Victor Priestwood

Crown Advocate.

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