177
JAMAICA.
5804/S
(Secret.)
SIB
No. 74.
THE GOVERNOR to THE SECRETARY OF STATE,
(Received 4th February, 1915.)
Government House, Hong Kong, 31st December, 1914. In continuation of my Secret despatch of the 17th December,* I have the honour to transmit the enclosed paraphrases and translations of cipher and code telegraphic correspondencet exchanged with you on the subject of the war. instructions conveyed in your telegrams have been acted on. I shall address you separately on the subject of your cipher telegram of the 22nd instant.
The
2. The local situation remains unchanged. Certain roads and paths which were, at the outbreak of the war, closed to the general public have now been reopened; and the only restriction on the movements of members of the civil population remain- ing in force is the regulation requiring persons wishing to leave the Colony to apply to the Provost Marshal for a passport.
3.
On the 20th August I issued the Proclamations, under section 3, in respect of each of the three banks doing business here, after the receipt of the necessary applications from them, and enclose copies of those Proclamations.
4.
On the same day I also fixed in Privy Council, under section 4, the maximum amount of the face value of the bank notes of each bank to be in circulation at the present time, as follows
The Royal Bank of Canada.......
The Bank of Nova Scotia
The Colonial Bank
£20,000
£143,000
£79,168
5. I thought it preferable to take the above steps shortly after the coming into operation of the Law rather than to wait for the signs of any possible run on the banks.
6. Since then the banks are submitting weekly returns under section 6, and I may state that their operations appear to be normal.
I have, &c.,
W. H. MANNING,
Governor.
PUBLIC RECORD OFFICE
Reference —
C.O. 885
24 PUBLIC RECORD OFFICE, LONDON
ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGROMNOT TO
8796/S
(Secret.)
SIR,
No. 75.
I have, &c.,
F. H. MAY,
Governor.
THE GOVERNOR to THE SECRETARY OF STATE. (Received 22nd February, 1915.)
Government House, Hong Kong, 15th January, 1915. In continuation of my Secret despatch of the 31st December, 1914, I have the honour to transmit the enclosed paraphrase and translations of cipher and code telegraphic correspondencet exchanged with you on the subject of the war.
2. The depression in the trade of the Colony, which I reported in Secret despatch of the 4th December, § continues unabated, and Chinese bankruptcies
many are anticipated.
37462
JAMAICA.
No. 76.
my
I have, &c.,
F. H. MAY,
Governor.
THE GOVERNOR to THE SECRETARY OF STATE. (Received 30th September, 1914.)
[Ordinance sanctioned, 23rd October, 1914. No. 328. L.F.] (No. 389.) SIR,
King's House, Jamaica, 11th September, 1914.
I HAVE the honour to forward to you, herewith, two authenticated and twelve ordinary copies of Law 36 of 1914, entitled "A Law to enable the Governor to make certain Bank Notes legal tender," which has been passed by the Legislative Council.
A copy of the Attorney-General's report is also enclosed.
2. In this connexion I desire to invite your reference to the telegraphic com- munications which passed between us, ending with your telegram of the 7th ultimo,¶ copies of which are herewith enclosed.
• No. 72. + Not printed. * No. 74. § No. 71. Not reprinted. 129232: not printed.
SIR,
Enclosure 2 in No. 76.
Attorney-General's Chambers, Kingston, 18th August, 1914.
I HAVE the honour to report that, in my opinion, His Excellency may properly assent to a Bill entitled "A Law to enable the Governor to make certain Bank Notes legal tender."
a
2. On the outbreak of war a considerable amount of uneasiness was felt by the banks, as some timid people had begun to make large withdrawals in specie and
"rush "
appeared probable. The simplest and best solution appeared to be to make the notes of the three banks (The Colonial Bank, The Bank of Nova Scotia, and The Royal Bank of Canada) legal tender, and the Governor directed me to draft the necessary Bill.
3. The position of the banks on the 5th instant was as follows:-
The Colonial Bank had notes to the amount of £64.300 in circulation, with other demand liabilities amounting to £266,155, and a specie reserve of £75,091.
The Bank of Nova Scotia had notes to the amount of £105,880 in circulation, with other demand liabilities amounting to £745,170, and a specie reserve of £156,454. Of this £158,454 £109,332 was in American and British gold, and £47,122 in British silver.
The Royal Bank of Canada had notes to the amount of £10,155 in circulation, with other demand liabilities amounting to £88,200, and a specie reserve of £11,400, with another £900 in American notes.
The Colonial Bank allots to its Jamaican branch a note issue of £79,186, but the Canadian banks have notes on hand which may be put in circulation as occasion demands. The above figures relating to demand liabilities other than note issue and to specie on hand were given me confidentially by the banks.
3. Clause 2 of the Bill under report defines "bank note" and "banker."
4. Clause 3 gives the Governor power to declare the bank notes of a banker to be legal tender and is somewhat similar in its wording to section 6 of the Bank of England Act, 1833 (3 and 4 William IV., chapter 98).
5. Clause 4 controls the total amount of notes which a banker whose notes
are legal tender may have in circulation at any time, and is somewhat similar in its wording to section 135 of the Canadian Bank Act (53 Victoria, chapter 31, section 1). It is proposed to fix the amount of note issue, in the first instance, as follows:-
6.
The Colonial Bank
The Bank of Nova Scotia
The Royal Bank of Canada
£79,166
£148,000 £20,000
If at any time the need arises the Governor in Privy Council would reconsider the position and fix such further amount in the case of any bank as appeared to be advisable and proper.
7. Clause 5 gives powers of inspection and clause 6 provides for returns. These returns would not, of course, be published.
Not reprinted: Jamaica Ganette Extraordinary, 20th August, 1914.
N
178
JAMAICA.
No comments yet.
Private notes are available after approval.