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PUBLIC RECORD OFFICE

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PUBLIC RECORD OFFICE, LONDON

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by the Excise Memorial Committee "in support of their Memorial transmitted with my despatch, No. 414, of July 29th last.*

2. The object of the present communication appears to be to show that Govern- ment have failed to redeem pledges given in the Legislative Council with regard to the establishment of toddy taverns and the sale of toddy rents. The Committee contends :-

(i.) That such taverns have been established in places "not only where there was no strong demand, but where there was strong and even unanimous opposition on the part of the inhabitants, and where trees have not been previously tapped for toddy ";

(ii) That though it was declared, as an essential provision of the new system, that no arrack renter will be allowed to have any interest, direct or indirect, in the sale of fermented toddy, such illicit connection has been made" quite clear ";

(iii) That from certain facts (which they adduce)" it is obvious that there has been no attempt by Government to establish the renting system in its simplest form in the case of toddy."

Finally, they ask for the appointment of a Committee of Enquiry" on which the public of Ceylon should have adequate representation, to enquire into the matters referred to, and to formulate suggestions that will lead to the improvement of the exeise system of the Government."

3. I enclose a copy of a report on the Memorial by Mr. Horsburgh, the Excise He shows once more that Commissioner, which effectually answers the contentions. the number of toddy taverns established is strikingly small in comparison with the population, that even these limited numbers were only determined upon after the most careful previous survey of actual conditions, and after consultation with those in the best position to form an unbiassed opinion. At the same time the present number and distribution of toddy taverns is necessarily entirely provisional, and, as you are aware, I am giving my personal attention to this phase of the question. In the case of the two villages mentioned in the correspondence annexed to the Memorial, I am satisfied that the evidence in the possession of the Excise Commis- sioner (ie., the evidence of the headmen and of people who had actually drawn toddy in the villages) is sufficient to justify the conclusion that there exists a demand for toddy there. You will note from page 7 of the print that this evidence was communi- cated freely to the Buddhist Excise Memorial Committee. If, however, this is proved to have been inaccurate by actual experience, the taverns opened will, of course, be suppressed.

4. I would invite your special attention to the categorical denial by the Excise Commissioner of one of the dramatic allegations in the Memorial, viz., that part of a burial ground had been set apart as a toddy tavern site. The only foundation for this allegation is, I am informed by the Excise Commissioner, that an application was made to the Government Agent for such a site, but was, I need hardly say, promptly refused. This is, I regret to say, typical of the many mendacious state- ments recklessly made by gentlemen who might ordinarily be expected to exercise This feature of the Memorial is even more strikingly exemplified by greater care. the enclosed copy of a report by Mr. Conroy, the Assistant Government Agent of Puttalam and Chilaw, on the affidavit of Mr. Corea, which forms Appendix II. of the Memorial. It is on this affidavit that the Memorialists rely for the truth of their assertions that the connection between arrack renters and toddy licensees has been demonstrated, but you will notice that Mr. Corea's statement that a certain toddy rent in the Chilaw District was sold to the clerk and manager of the district arrack renter is proved by Mr. Conroy to be a gross distortion of facts. I may add that immediately after the sale of the rents in question (on May 31, 1912), I had called for a report on the sale in view of a speech by Mr. Corea, reported in the newspapers, in which he made similar allegations to those now made in his affidavit. I enclose a copy of Mr. Conroy's report thereon. As regards the possibility of a rent being purchased by a headman. I see no objection to such a course, provided he is required to vacate his headmanship.

• No. 3.

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In connection with Mr. Corea's affidavit, I may mention that the day previous to The resolutions at this the Chilaw sale a public protest meeting was held in Chilaw. meeting were duly forwarded to Government, and as I noticed from the report of the meeting that the Crown Proctor had apparently associated himself with Mr. Corea in wholesale condemnation of the Government's attitude, I invited his explanation. He at once repudiated the whole speech-averring that it had been apparently composed by the person who reported the meeting for the "Morning Leader "-and that all he had done was to second a motion in formal support of the principle of "local option." I record this incident-of no intrinsic importance-as another example of the methods now being pursued by the opponents of the Government's endeavours to secure a proper control over the liquor traffic in this Colony.

5. I may add that opposition to the toddy taverns often appears to be unanimous because the whole village is deeply committed to the illicit trade.

6. In conclusion, I feel confident that you will agree with me that a committee

of enquiry is as wholly unnecessary as it would be clearly inexpedient. The new system is being inaugurated with scrupulous care, and I am devoting my personal attention to its details. Any appearance of surrender to an opposition which, where it is not interested and factious, is founded on a misconception of Government's motives, would tend to wreck the reform which Government is endeavouring to intro- duce

I have, &c.,

HENRY MCCALLUM,

Governor, &c.

Enclosure 1 in No. 7.

To the RIGHT HONOURABLE LEWIS VERNON HARCOURT, M.P., His Majesty's Secretary of State for the Colonies.

Colombo, Ceylon, September 11th, 1912.

SIR,

THE Excise Memorial Committee appointed at the Public Meeting held in Colombo on June 15th last have the honour to lay before you the following statement

in support of the Memorial forwarded to you in July last.

2. The Honourable the Colonial Secretary of Ceylon, in a speech delivered in

the Legislative Council on April 15th, 1912, made the following statements:-

"The particular measures by which the Government propose to regulate the consumption and the manufacture of fermented toddy are to establish a renting system in its very simplest form at the beginning. This will be done by letting the exclusive right to retail fermented toddy to approved indi- viduals in those districts where the enquiries of the Excise Commissioners have convinced us that the consumption of fermented toddy is already carried on to a considerable extent." (Hansard, page 73.)

"From the very first, no arrack renter will be allowed to have any interest, direct or indirect, in the sale of fermented toddy. This is an absolutely essential provision." (Hansard, page 74.)

"I should like to say absolutely and emphatically, and to insist upon the statement, that Government do not propose to establish a single additional tavern in any part of this Colony for revenue purposes. The sole object we have in view is to meet the legitimate demand and thereby to discourage and prevent illegitimate sales and consumption." (Hansard, pages 77-78.)

3. From this and other statements of Government it is clear that-

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(i) it was their intention to establish toddy taverns only in places where there was a proved demand, such demand being demonstrated by the fact that trees were habitually tapped for the production of fermented toddy, and illicit sales regularly took place;

(ii) no arrack renter was to have any interest, direct or indirect, in the salo

of toddy;

(iii) in the matter of toddy, the renting system in its simplest form would be adopted, e.g., licences would be issued only to approved individuals,

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