COPY.

NOTES FROM A RELIABLE CHINESE SOURCE.

CANTON/HONG KONG SERVICE.

42

Until a very short time ago, two Portuguese Lighters

of 300 and 500 tons capacity were running between Hong Kong and

Canton. They were blown up by mines outside Hong Kong Harbour

a little while ago.

Besides these lighters there are six junks, two

operated by one Company and four by another running to Canton. They are towed to Taishan, and therefrom towed up to Canton

by launches flying Japanese flag. On the downward trip

they are towed to Taishan by Japanese launches and the

Hong Kong launches take up the tow for Hong Kong.

Types of cargo for Canton are: oil, beans, salt fish,

It is reported

groundnuts, medicine, fertilisers and sugar.

that several shipments of rice, salt and sleepers had gone up.

Downward cargo consists of bamboo ware chinaware, Ching Lee

canes, fowls and vegetables.

It is reported that no duties are paid at Canton. There should be no difficulty for Canton to check up whether any cargo has passed through the Customs.

It is not possible to find out whether the Japanese have any direct financial interest in the operation of these crafts, but it is certain that some form of squeeze is paid

to them.

EONG KONG. 6.11.39.

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