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their jurisdiction and are apt to lose sight of the wider responsibilities of the port and may even manifest opposition to measures which may be to the advantage of a district beyond its borders.

(5) Private Control. I do not think it is necessary to comment on this form of control, as the only port I know if in the United Kingdom which is operated by a Limited Liability Company is Gloucester.

The Ideal. Nearly twenty years ago Sir Joseph Broodbank, a most distinguished and experienced port administrator, stated his ideal for the management of a great seaport.

Shortly put, this was that there should be a supreme authority in the port for controlling all matters relating to the waterways, leaving berthage and facilities to be provided and managed by a Statutory Company, that the supreme authority should have the power to call upon the Company to carry out any new facilities required; that the reasonableness of charges to traders should be subject to appeal to an impartial tribunal; and that there should be a limitation of dividends payable by the Company. basis of this ideal is that, while there would be the broad impartial outlook in the development of the port, the execution of works and the administration of business would be carried out by a commercial body interested in despatch, efficiency and economy.

The

We are particularly like that in Hong Kong if Government will take that "broad impartial outlook in the development of the port.

PART III

GENERAL MATTERS FOR CONSIDERATION BEFORE

DECIDING THE FUTURE POLICY

1.

From inquiries I have made with reference to the Owen Report I have been given to understand that Sir Geoffry Northcote, then being near to retirement, had not wished to leave too many loose strings for his successor and at the same time desired to show appreciation of Sir David Owen's public spirited aotion and he regarded the report as a valuable contribution affording a possible solution of the question of the expiration of the pier leases in 1949. It was realized, however, that no action in furtherance of the report could be taken during the war.

It seems to me that changed circumstances attendant upon the capture of Hong Kong may well warrant further consideration of that report or a re-orientation of views.

2. I am placed at a disadvantage by not having a copy of the report to consider in detail; but so far as I remember, the actual form and activities of the Trust have not been defined.

(a)

If it is intended that the sphere of the Trust should be

restricted to Port Development and the Control af Facilities, then I have no comments to make. I strongly deprecate any suggestion that duties now performed by the Harbour Department be handed over to the Trust. At the present time it is possible for all official shipping business to be carried out under single direction, e.g. Registry, Surveys, Issue of International Convention Certificates, etc.,

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