208
In view of all these considerations the Directors of this bank are strongly of opinion that in order to secure the interests of the Colony, and therefore those of the Govern- ment, the only course to follow is to postpone the payment of instalments as proposed under heading No. (iv.). The Government will thereby in no way lessen the value of their security and will, indeed, stand in even a better position in this respect; a reasonable accommodation will be given to those who, through no fault of their own, are unable at the moment to pay a debt which there is every ground for presuming they will be able to discharge hereafter; the serious results of severe measures will be avoided; and the Colony will be encouraged in its progress towards the renewed prosperity which is hoped for.
209
same procedure should be followed in case of applications for postponement as was followed in case of original applications for advance, and that the Officer Adminis- tering the Government must have absolute discretion to refuse an application for postponement. As soon as necessary Ordinance passed will communicate with Crown Agents as to raising under it of funds to pay off, on 1st August next, deben- tures which then mature by issuing other debentures for £101,200, repayable on 1st August, 1906, or arranging for further currency of present debentures. Ordin- ance should give Crown Agents free hand.
I have, &c.,
15543
F. P. MURRAY,
Secretary.
No. 163.
PUBLIC RECORD OFFICE
Reference :--
'। :| । ‛「 :།
וויון וווד
C.O. 882
8
PUBLIC RECORD OFFICE, LONDON
ALLY WITHOUT PERMISSION OF THE COPYRIGHT PHOTOGRAPH-NOT TO BE REPRODUCED PHOTOGRAPHIC-
Sir Chas. Bruce, G.C.M.G.,
Arnot Tower, Leslie, Fife.
16649
No. 160.
ACTING-GOVERNOR SIR G. BOWER to MR. LYTTELTON.
(Received 10.58 a.m., May 10, 1904.)
TELEGRAM.
[Answered by No. 162.]
Referring to my telegram of 11th April,* Messrs. Hugnin and Regnard, who state that they represent 28 estates, have called on me to ask for a reply. They say that the grain merchants have stopped credit, and they do not think that they will be able to feed or pay their Indians next week. I am reluctant to appear impatient, but present position is affecting finances of Government, and it is very desirable that I should receive your decision as soon as possible. Council of Govern- ment opens 17th May.
12464
SIR,
No. 161.
MR. LYTTELTON to ACTING GOVERNOR SIR G. BOWER. (No. 115.)
Downing Street, May 11, 1904.
I HAVE the honour to acknowledge the receipt of your despatch, No. 74, of the 5th of March.† reporting that you have appointed a Commission to enquire into the condition of the small planters in Mauritius.
Your action in this matter meets with my approval.
15543
No. 162.
I have, &c.,
ALFRED LYTTELTON.
MR. LYTTELTON to ACTING GOVERNOR SIR G. BOWER. (Sent 1.40 p.m., May 12, 1904.)
TELEGRAM.
[Answered by Nos. 165, 181 and 184.]
Your telegram of 11th April.* After full consideration of question, I am prepared to approve following arrangements: Payment of each instalment may be postponed for one year on express condition that repayment of advances will be first charge on proceeds of sales to Government for re-afforestation, and also that
† No. 146.
• No. 149.
SIR,
MR. LYTTELTON to ACTING GovernoR SIR G. BOWER.
(Confidential.)
Downing Street, May 12, 1904. I HAVE the honour to acknowledge the receipt of your confidential despatches and telegrams of the dates noted in the margin,* with Despatch, 3 February. Despatch, 22 February.
regard to the position of the Mauritius sugar industry. Despatch, 22 February. Despatch, 26 March. Telegram, 28 March. Telegram, 11 April. Telegram, 23 April. Telegram, 29 April,
Telegram, 10 May,
2. In my telegram of to-day's date, f I communi- cated to you my decision on the question of allowing the planters and bailleurs de fonds where necessary to post- pone repayment of the instalments of the advances-in- aid loan, the first of which falls due on the 30th of June next.
3. The Bank of Mauritius has been consulted in the matter as well as Sir Charles Bruce. I do not think that it would be expedient, under present circum- stances, to appoint a Royal Commission to enquire into the financial position of the planters, though such a measure may become necessary at a future date. A local enquiry such as you suggest in your despatch of 26th March, whilst causing disturbance to the business and credit of the Colony, might very possibly fail to secure a complete and accurate disclosure of the real position of the sugar industry, and, in any case, there is hardly time for such an investigation to be properly carried out by the end of next month.
4. I consider, therefore, that the best course to adopt will be to allow a post- ponement of each of the repayments for one year, so that the first instalment shall become payable on the 30th June, 1905, and the second on the 30th June, 1906. But this postponement must be made subject to two conditions which I look upon as essential. The first is, that the Officer Administering the Government must have the same absolute power to refuse a postponement in any particular case as he had to refuse the original loan under the Sugar Estates (Advances-in-Aid) Ordinance. The same procedure should be followed as far as possible in dealing with applica- tions for postponement as was adopted in the case of applications for advances.
5. Secondly, in the case of owners of estates having forest lands offered for sale, or which may be required for re-afforestation purposes, no postponement should be allowed unless the proprietor consents to make the repayment of the advance a first charge on the proceeds of the sale. A clause to this effect should be inserted in the Ordinance which will be required.
6. I fear that it is not possible to entertain the proposal to raise loans for the improvement of the machinery on estates, which has been put forward by Mr. Piggott.
19234
I have, &c.,
ALFRED LYTTELTON.
Nos. 139, 143, 144, 155, 11170 (not printed); 12880 (not printed); 154, 158 and 160.
† No. 162.
No. 155.
2 D
15543
210