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thus be able to avoid this difficulty in any case that may arise by waiving the require- ment of deck and load lines.

9. Ships which comply with the provisions of the Imperial Merchant Shipping Aot should be specifically exempted from the operation of section 13 of the Hong Kong Ordinance of 1899.

10. The words "British or Colonial" should be inserted before the word “ship" wherever it occurs in section 19 (4) to bring it into unison with subsection 5. I must point out that the observations of the Solicitor to the Board of Trade on the latter subsection have not been dealt with.

11. Section 37 so far as it applies to ships of the class specified plying to places outside the waters of the Colony is not in conformity with the Imperial Act, and should, accordingly, be limited.

•

12. While I consider that the view taken in paragraph 3 of my despatch, No. 118, of the 12th of April, 1901,* is as a general rule to be preferred, I am prepared to sanction a certain amount of repeal so far as it is permissible under section 735 of the Imperial Act. But, you will observe that such repeal can only apply to ships registered in the Colony. Those portions of section 41 and of other sections which purport to operate as a repeal of the Imperial Act must be amended or omitted accordingly.

13. On receipt of a revised amending Ordinance making the additional alterations referred to above steps will be taken to prepare the Order in Council required under section 735 of the Imperial Merchant Shipping Act, 1894, to confirm the Colonial Acts. 14. I have received Major-General Gascoigne's despatch, No. 26, of the 20th of January last, but have delayed replying to the prayer of the petitioners until I was in a position to settle finally the points which had arisen with regard to the Ordinances referred to. I have now to request that you will cause the signatories to be informed that I have received their memorial, but see no reason for complying with its request.

15. I observe that both the petition and the second paragraph of General Gascoigne's despatch mention section 24 of the Ordinance of 1901, where apparently section 25 is meant.

I have, &c.,

J. CHAMBERLAIN.

• No. 7.

↑ Not printed.

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