CO885-(15-16) — Page 27

10784.

No. 31.

(SOUTH AFRICA.)

SIR,

LAW OFFICERS TO COLONIAL OFFICE.

Royal Courts of Justice,

April 5, 1900.

WE were honoured with your commands signified in Mr. Bertram Cox's letter of High Com- the 27th ultimo, stating that he was directed by you to transmit to us the correspondence, missioner, noted in the margin, regarding certain casks of charcoal detained by the Customs at Port Telegram

Elizabeth.

108,17 Feb. 1900. That this charcoal appeared to be the property of the "Zuid Afrikaansche Fabrieken Foreign Voor Ontplofbare Stoffen Beperkt" or "dynamite monopoly," as it was often called, of Office, the Transvaal, and the High Commissioner for South Africa was evidently of opinion 1900.

27 Feb., that, as such, it should be confiscated, as being practically the property of the enemy To High Government, and not merely detained as if it were the property of an ordinary trading Commis- company. That he urged that it was, as a matter of fact, nothing but a Government sioner, factory, and one of supreme importance in the conduct of the war.

That to this it might 1 Mar., 1900

Telegram

be added that the Company were certainly importing for the Government before the (2). outbreak of war goods, some of which, e.g., bullets, could not possibly have served any High Com- but a military purpose, and that it appeared from a notice in the "Stauts Courant" of missioner, 24th January that, despite the closing of many mines owing to the war, and the con-

Telegram sequent diminution of the demand for dynamite, the Company contemplated issuing 1900.

157, 5 Mar., 450,000 new shares of £1 cach, to rank pari passu with the existing shares.

To High

That it had, however, been suggested that to treat this charcoal as equivalent to Commis- property of the enemy Government would be inconsistent with the position taken up by sioner, Her Majesty's Government in your despatch of the 13th January, 1899. That in that 22 Mar.,

Telegram despatch, the draft of which had been approved by us, it was contended that the monopoly 1900 (1). was not a bona fide State monopoly at all, and Her Majesty's Government had declared C. 9317. that they must not be understood as in any sense admitting the legality of the original High Com- concession, or of its extension. That the Government of the South African Republic Despatch

missioner, refused to admit the right of Her Majesty's Government to interfere, and the latter stated 431," (p. 17 of C.-9317) that they adhered to their protest.

28 June,

That Mr. Bertram Cox was to enclose four subsequent despatches from Sir A. Milner, 1899. one of which contained a remarkable report by Messrs. Dougall and Blakie, accountants, missioner,

High Com- and other certain legal opinions with regard to the power of the Government to cancel Despatch the concession, and the two latest reported an attempt on the part of the Volksraad to 527, "settle finally "the dynamite question. That no action was taken by Her Majesty's Aug, Government on the Resolution of the Volksraadk

1899.

2

།།།།།

PUBLIC RECORD OFFICE

C.O. 885

Reference :-

15 PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH—NOT TO

23 Aug., 1899.

That a copy of the contract between the Government and the Company would be missioner,

High Com- found annexed to the print of Sir A. Milner's despatch of the 2nd August. That. it Despatch would be seen from Article 1 that the Company was appointed sole agent to the Govern- 597, ment for the importation of ammunition as well as other explosives.

That Mr. Bertram Cox was to request that, we would take the

into our High Com- papers consideration, and advise :-

missioner, (1.) Whether Her Majesty's Government would be entitled in the event of the Despatch annexation of the South African Republic to direct the cancellation of the existing 30 Aug. contract, or, if not, what other steps they could take to terminate the existing concession. 1899 (2.) Whether the right of Her Majesty's Government to deal with the Company would be affected by recognizing the Company as at the present time identical with the Government for such purposes as the seizure of the charcoal.

(3.) Generally.

We have taken the matter into our consideration, and, in obedience to your commands, have the honour to

Report--

1. That in the view which we take of the matter immediately under consideration,

the seizure of this charcoal cannot affect the rights of Her Majesty's Government with regard to the cancellation of this concession,

5537—2*-4-1900 WC324 D&S

613,

2