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approval of the Board of Trustees.

Further, in the event

of the repayment of principal and payment of interest being

in default, the Board of Trustees have the right to dispose

of the ships.

It appears from the letter dated 27th September last

from Messrs. Jardine Matheson & Company, Ltd., (a copy of which

accompanied your letter under reference) that the instalments

have not been paid at the due dates by the China Merchants'

Steam Navigation Co., and that the Board of Trustees therefore propose to sell the ships in accordance with the conditions of

the contract.

In these circumstances the Board see no objection to the four ships being registered as British ships at Hong Kong in the name of the Indo-China Steam Navigation Company, provided that the Company are in a position to satisfy the Officer Administering the Government of the Colony that they are the owners of the ships and are entitled under the Merchant Snipping

/Acts

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