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to perform the medical work necessary, and Mr. A. 8. Hamilton, who was Treasurer, Harbour Master, Post- Master, Surveyor, and Superintendent of Convicts, and generally performed those duties which were not entrusted to the Governor, even undertaking the func- tions of Chaplain. Mr. Leys was appointed Consul. General for Borneo, and drew the greater part of his salary from consular funds.
By these measures it was found possible to carry on the Government until November, 1888, when, in con- sequence of the establishment of British Protectorates over Borneo, by the Agreements referred to on page 16 above, the Foreign Office decided to make other Consular arrangements, and notified to the Colonial Office that they would not guarantee the continuance to Mr. Leys of the salary of Consul-General.
•
The loss of this contribution to the Governor's emoluments meant that either a Treasury grant must be asked for or some new arrangement must be made for the government of the Colony. It was decided to adopt the latter course. The financial reason which had prevented annexation to the Straits Settlements in 1880 still remained, and the choice therefore lay between administration by Sarawak or by the British North Borneo Company, either of whom would have taken over the Colony. The 1888 Agreements, and, in the case of the Company, the grant of a charter, had removed the objection that these countries were not British, and the Company had now had some years' experience of administration. British North Borneo was preferred to Barawak as the island lay only six miles from the coast of the Company's territory, and could, therefore, be cheaply and conveniently adminis- tered from the mainland.
Lord Knutsford would have been prepared to hand the Colony over to the Company to be administered as part of their territory, subject to a right of resumption or temporary occupation by Her Majesty's Government in time of war; but in view of possible Parliamentary opposition to this course he decided merely to appoint the Company's Principal Representative to be Governor of Labuan, still leaving to the Colony its own laws and Courts of Justice.
The Company accepted this arrangement, an under- taking being given that so long as it remained in force Her Majesty's Government would always advise the Queen to grant a commission as Governor of Labuan to the person appointed to govern the Company's terri- tories. The Governor was not to be required to reside in Labuan, but was to be authorised to appoint a Deputy or Deputies to govern Labuan during his absence from the island. The Company were to assume the pension liabilities of Labuan and to take over the whole administration, subject to the reference to the Colonial Office of all new lawe. It was understood that the laws were to be generally assimilated to those of the Company's territory.
Letters Patent were accordingly issued in November, 1889, abolishing the Legislative Council and leaving the Governor as the legislating power, and providing also for the appointment of Deputy Governors.
Mr. C. V. Creagh, the Company's Principal Repre- sentative, was appointed Governor of Labuan and the Colony was handed over to the Company on the 1st of January, 1890.
The administration by the Company during these 15 years has not given universal satisfaction.
In 1896 petition was 'received from some of the inbabitants asking that Her Majesty's Government would resume the administration. The complaints against the Company's government were mostly trivial, and Bir C. Mitchell, fter an investigation on the spot, came to the conclusion that the inhabitants had little
PUBLIC RECORD OFFICE
Reference :---
C.O. 882
8
PUBLIC RECORD OFFICE, LONDON ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO
Dotted lines shew approximate boundaries only
Scale 10 miles to the inch
Balaik
aram
tong R.
BRUNEI
Brunei R
Liman Manis
SARAWAK
Belait R.
BRUN
Bakit Sawak
TERRITORY