COLONIAL REPORTS———ANNUAL.
passed over Hongkong, when the wind blew with terrific force from the S.W., and within four hours over 110 junks and 10 steam-launches were sunk, with a loss of about 200 lives. H.M.S. Sandpiper sank at her moorings, her crew being, with one exception, gallantly rescued by H.M.S. Otter, under command of Lieutenant Wilkin, R.N. The dredger Canton River, a large vessel just out from England for work on the Naval Dock, was also blown over and sunk. One man was washed off the wreck. The remainder of the crew were rescued with difficulty by a boat from H.M.S. Tamar, under command of Lieutenant the Honourable Fitz Walter Butler, R.N.
IX.-POSTAL AND TELEPHONE SERVICE.
(a.) Post.
1. The troubles in the North of China, and the consequent despatch of the China Expeditionary Force, added very considerably to the work of the Post Office. There was a nett increase of 387,050 in the total of international and local correspondence dealt with as compared with the previous year.
2. The Indian Postal Administration opened a Base Post Office in Hongkong, and to that office everything received at the General Post Office for the China Field Force was immediately sent.
3. The trouble in the North has also delayed the completion of the Convention for the Partial Postal Union between this Colony and China, which had already been forwarded for execution. This Convention should certainly be completed as soon as circumstances will permit.
4. The sale of stamps in Hongkong realized $217,612.24, or $820.79 more than in the previous year. It is hoped that the increasing volume of correspondence will gradually remove the loss of $16,404.32 which was incurred in 1899 owing to the adoption of the penny postage to the United Kingdom and to the majority of the British Colonies.
5. The nett profit on the year's transactions at the Hongkong Post Office was $90,340.25. This shows a gratifying increase of $10,333.65 over the previous year's balance.
(b.) Telephones.
6. All the Government telephone lines have been kept in good repair. Considerable expenditure was found to be necessary in the New Territory, where most of the poles are of timber. The Police Station at San Tin was connected by telephone with
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