CO129-308 - Public Offices - 1901 — Page 466

tender in quch quantities (the maxining tender, for silver subsidiary cami, is two dollars); but com reckoned at bullion value would, stuctly, be as

use ful

it

oiuseless

vecen

to

in a crisis may to

คน

In the reply to this Letter the following

Number should be quoted.

deem the notes

5469

01

the

Colony

But we do not

Commonse

to order subsidiary coin beyond

ts pobable, requrements; and if the Bank

lock up $900,000

at a time,

Can

a

month or so

clearly,

of it for the Colony is

as the Treasury buit, overstucked.

? Write to the

This

Colony,

is

founting out that subsidy for, and not intended for this. point out as at marked fansages of this letter. Send coby disp. to I run letter:

explaining

on un am

A.F.2014

CAL.25

atones

15-5938

15726745

1

Sir,

Rec

0.0.

12144

*

Reg C APR 01

TREASURY CHAMBERS,

461

4-April 1901

I am directed by the Lords Commissioners of His Majesty's Treasury to acknowledge the receipt of Lucas's letter of the 26th ultimo (9935/01), covering a

copy of a statement prepared by the Crown Agents for the Colonies shewing the value on the 2nd January last of the

securities held by them against the Note Issue of the

Hong Kong and Shanghai Banking Corporation.

With reference to the statement in the letter

under acknowledgement that on the 5th February the amount

of the deposit against the Bank's excess Note Issue in

Hong Kong was $4,100,000 in dollars and $900,000 in subsid-

iary coin, I am to request that you will call the

attention of Mr Secretary Chamberlain to the terms of the

Colonial Office letter of the 13th July 1898 and the

Treasury reply of the 15th idem, whereby it was arranged

that the excess issue should be secured by the deposit of

dollars to the full amount of the issue with the Colonial

Treasury. The HongKong Ordinance in which this arrangement

was embodied provides merely for the deposit of "coin

or bullion," but My Lords are of opinion that"coin"

should be interpreted to mean "full legal tender coin"

such as would be available for redemption of the Notes

and not to include "subsidiary coin"

e Under Secretary of State

Colonial Office.

The