As the result of the seizure of a consignment of arms from Germany, and the receipt subsequently of information from the Home Office, the operations of a powerful syndicate of Chinese arms smugglers were brought to light. The syndicate had been working since 1922 at least, and some of the arms seized in 1923 were traced to them. Five arrests were made, including a clerk employed in the Official Receiver's Office. Two of those arrested absconded forfeiting heavy bail, three others were banished from the Colony, there being technical objections to the use of the large amount of evidence against them. The syndicate was composed of Chinese Seamen's Boarding House Keepers operating in England, Germany, and Holland with Headquarters in Hongkong. Several firms who supply Chinese crews to shipping Companies were concerned, and one firm which did a stevedoring and compradore business subsequently closed. The syndicate handled very large sums, and must have made very large profits during 1923, the profit on a successful operation being at least 500 per cent. in all, the actual syndicate making about 250 per cent., and the remainder being made by individual members retailing the arms in small quantities amongst their sailor acquaintances employed on the coasting vessels plying from this port. The chief member of the syndicate frequently acted as a Police Interpreter in London, and was connected with many of the Chinese drug dealers recently dealt with in London. A large number of raids were made in conjunction with the Police, and a mass of documents collected, the examination of which proved extremely laborious. A large amount of information was obtained which proved useful to other administrations. The members of the syndicate were effectively dispersed both here and in Europe.
XV. STAFF
I was in charge of the department throughout the year.
An addition of three was made to the staff of European Revenue Officers, and of two supernumerary Probationer Clerks to the Statistical Department in order to insure that the work should not fall behind, owing to the necessity of teaching new probationer clerks their work. Revenue Officer Grimmitt was in charge of divan work in Hongkong during the absence on leave of Senior Revenue Officer Watt.
7th April, 1925.
J. D. LLOYD,
Superintendent.