CO129-321 - Public Offices & Others - 1903 — Page 82

CO129 Colonial Office Hong Kong Records 理藩院香港檔案 All AI Reviewed

3

78

Smuggling of arms,

Missionaries. (Confidential.)

Activity of French,

The extreme west of the province appears also to have been the scene of serious disturbances, for the Catholic priests who took refuge some time ago in Kueichou have since been obliged to retire further from the border, and it is stated that the bandits succeeded in capturing the town of Hsingyi.

In view of the large number of lawless men scattered over the province and the severe distress from which many districts are suffering, amounting in some places almost to famine, it is pretty safe to predict that the coming winter will see the outbreak of widespread disorder such as prevailed last year.

From one or two cases that have come to light, it would appear that considerable quantities of arms are being smuggled into these provinces. Recently a boat was seized in Kuanghsi on suspicion and 200 rifles found on board. It was elicited from the prisoners that the same boat had previously smuggled 500. In connection with this affair, it transpired that there was a plan to capture Governor Wang when he was at Hsunchow, on his way to Nanning. It will, perhaps, be remembered that a correspondent of a Hong Kong paper stated that he had been surrounded there by the brigands. Repeated thefts, or possibly clandestine sales, of rifles belonging to the Annamite troops on the frontier have lately been occurring. A big smuggling trade is said to be carried on through Kuangchouwan, and, no doubt, arms find their way through as well as opium and other goods.

When Mr. Werner was in charge of this Consulate, about a year ago, he reported more than once on the improper interference of the German missionaries in native cases. During the short time I had charge of German interests, several instances of similar misconduct on their part were brought to my notice. The Prefect of Liechow complained to me that a Mr. Bethke had applied on behalf of a convert to farm a certain tax station, and when this was refused—there being no reason for turning out the then farmer—he had preferred a charge of extortion and robbery against a Customs officer, and had threatened to make trouble in respect of the matter unless his application for the farm were granted. Shortly after, Pastor Witt interfered in a case of a claim made by a Chinese merchant residing and carrying on business in Hong Kong against a local trader, on the ground that a convert, a person of notoriously evil fame, had capital invested in the plaintiff's business. An indirect and, perhaps, somewhat remote consequence of this was a disturbance made by the relatives of the defendant at the shop of the native agent of a British firm where the plaintiff was staying, during which goods belonging to the firm were damaged and stolen, the loss being, however, subsequently made good. About the same time, trouble occurred near Lienchow between Catholic converts and a number of people nominally belonging to the German Mission, resulting in several of the former being wounded and some of their standing crops being destroyed. It appears that a few years ago a section of the chief clan in that locality joined the Catholic Church, thereby exciting the resentment of the remainder who had long been seeking an opportunity to revenge themselves on their kinsmen. Taking advantage of the presence of a German missionary in the neighbourhood, they became nominal adherents of the Mission, and relying on the promises of protection, which it seems to be the practice of the German missionaries to freely give to their followers, they made a dispute about the use of a fish-pond the pretext for a quarrel, and attacked the Catholics with the results above described. Mr. Bethke, on hearing of the affair, at once proceeded to the scene of the occurrence and promised his people German protection. The French Consul telegraphed to the Viceroy, and told the Prefect he would summon a gun-boat if any further acts of aggression were committed; he also sought my assistance in the matter. I wrote to the Prefect urging upon him the importance of maintaining order, regardless of whether the parties were Catholics, Protestants, or otherwise, and advising him to deal with the case as if it was a purely native one. Finally, the matter was amicably settled through the local gentry by the aggressors paying 800 dollars compensation. There are supposed to be some fifty German converts in that district, but it is evident they are not genuine, as work has only been carried on there for a few months, and that merely by a native catechist. On another occasion, Mr. Bethke interfered in a case in which the Mission was not in the remotest degree interested, and there is strong evidence to show that he extorted a sum of 370 dollars from the petty official concerned. Mr. Bach, who was the chief cause of the riot at Lienchow in 1901, is returning shortly with some assistants, and they propose to carry on work in the Leichow peninsula with a view, as they declare, of checking Catholic influence. It seems that the German Consular authorities have no power to deport dangerous characters, and it is to be feared that these people may be the cause of local trouble if they continue to behave in the outrageous manner which has distinguished their conduct in the past.

French officers have been recently surveying the country between Kuangchouwan and the West River, and if a railway is built that port will probably be made the terminus instead of Pakhoi.

There are three French schools at Kuangchouwan with about sixty pupils. Here there is one under a French schoolmaster with some twenty pupils.

A French post-office has now been completed, and a French clerk arrived recently to take charge. A hospital is also to be built. There is already a French doctor, who gives his services gratis to Chinese.

It may be mentioned here that the French priests on Weichou Island have a stock of 500 rifles supplied by the French Government for distribution amongst their converts (who number some 4,000) in case of attack by pirates.

The postal service under the Imperial Maritime Customs is being gradually extended. There is at present daily communication with Lienchow, four times a-week with Chinchou, and three times a-week with Nanning viâ Chinchou and Hsiao Tung. A courier service to Kaochou and Yulin is also about to be started.

The deputy who, as reported by my predecessor, arrived here in September for the purpose of collecting a tax on opium, returned to Canton as soon as the decision to abandon the tax became known, without, as far as I can ascertain, any actual levy having been made.

Commercial.

The Customs Returns have not yet been completed, but I understand that they will show a falling off in the trade of the port of some 20 per cent. This appears to be partly due to a diversion of the trade to Kuangchouwan, whence it passes into the interior almost, if not entirely, free of duty.

Anpu, which formerly took a considerable quantity of Pakhoi imports, is now supplied from that port at much lower rates than it can be from here; for instance, yarn is sold there 2 dollars a bale cheaper than here, which can only be accounted for by its escaping import duty.

Considerable quantities of opium are also smuggled through. The trade is, in fact, already assuming fairly large proportions, the imports from the 1st April to the 30th June being valued at 410,000 dollars, and the exports at 215,000 dollars, and recently several steamers have cleared from Hong Kong with cargoes for that trip only. Launches from Canton and Hong Kong call there frequently, and I am told that some of these visit Leichou and other non-Treaty places along the coast.

The German gun-boat "Tiger" came here in October with a Consular officer on board. The Prefect and Magistrate came down from Liechow to discuss with him two somewhat trivial cases which had been referred to the German Consul at Canton by this Consulate some time ago. Both cases were settled.

Chinese gun-boats have visited the port several times during the quarter.

Dr. Mudra arrived in November to take charge of the newly-established German Consulate. He will also have control over the Vice-Consulate at Kiungchow. I am informed the chief reason for the appointment is a desire to control the doings of the missionaries.

Major Feng Tien Huang passed through in November to replace Major Liang at Lienchow.

General Pan has been ordered to proceed to Kuanghsi, and will be temporarily replaced by Li Chia Cho, who will also act as Magistrate of Chinchou vice Lu Wei Yu.

H. A. LITTLE, Consul.

Pakhoi, January 12, 1903.

(Signed)

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3 78 Smuggling of arms, Missionaries. (Confidential.) Activity of French, The extreme west of the province appears also to have been the scene of serious disturbances, for the Catholic priests who took refuge some time ago in Kueichou have since been obliged to retire further from the border, and it is stated that the bandits succeeded in capturing the town of Hsingyi. In view of the large number of lawless men scattered over the province and the severe distress from which many districts are suffering, amounting in some places almost to famine, it is pretty safe to predict that the coming winter will see the outbreak of widespread disorder such as prevailed last year. From one or two cases that have come to light, it would appear that considerable quantities of arms are being smuggled into these provinces. Recently a boat was seized in Kuanghsi on suspicion and 200 rifles found on board. It was elicited from the prisoners that the same boat had previously smuggled 500. In connection with this affair, it transpired that there was a plan to capture Governor Wang when he was at Hsunchow, on his way to Nanning. It will, perhaps, be remembered that a correspondent of a Hong Kong paper stated that he had been surrounded there by the brigands. Repeated thefts, or possibly clandestine sales, of rifles belonging to the Annamite troops on the frontier have lately been occurring. A big smuggling trade is said to be carried on through Kuangchouwan, and, no doubt, arms find their way through as well as opium and other goods. When Mr. Werner was in charge of this Consulate, about a year ago, he reported more than once on the improper interference of the German missionaries in native cases. During the short time I had charge of German interests, several instances of similar misconduct on their part were brought to my notice. The Prefect of Liechow complained to me that a Mr. Bethke had applied on behalf of a convert to farm a certain tax station, and when this was refused—there being no reason for turning out the then farmer—he had preferred a charge of extortion and robbery against a Customs officer, and had threatened to make trouble in respect of the matter unless his application for the farm were granted. Shortly after, Pastor Witt interfered in a case of a claim made by a Chinese merchant residing and carrying on business in Hong Kong against a local trader, on the ground that a convert, a person of notoriously evil fame, had capital invested in the plaintiff's business. An indirect and, perhaps, somewhat remote consequence of this was a disturbance made by the relatives of the defendant at the shop of the native agent of a British firm where the plaintiff was staying, during which goods belonging to the firm were damaged and stolen, the loss being, however, subsequently made good. About the same time, trouble occurred near Lienchow between Catholic converts and a number of people nominally belonging to the German Mission, resulting in several of the former being wounded and some of their standing crops being destroyed. It appears that a few years ago a section of the chief clan in that locality joined the Catholic Church, thereby exciting the resentment of the remainder who had long been seeking an opportunity to revenge themselves on their kinsmen. Taking advantage of the presence of a German missionary in the neighbourhood, they became nominal adherents of the Mission, and relying on the promises of protection, which it seems to be the practice of the German missionaries to freely give to their followers, they made a dispute about the use of a fish-pond the pretext for a quarrel, and attacked the Catholics with the results above described. Mr. Bethke, on hearing of the affair, at once proceeded to the scene of the occurrence and promised his people German protection. The French Consul telegraphed to the Viceroy, and told the Prefect he would summon a gun-boat if any further acts of aggression were committed; he also sought my assistance in the matter. I wrote to the Prefect urging upon him the importance of maintaining order, regardless of whether the parties were Catholics, Protestants, or otherwise, and advising him to deal with the case as if it was a purely native one. Finally, the matter was amicably settled through the local gentry by the aggressors paying 800 dollars compensation. There are supposed to be some fifty German converts in that district, but it is evident they are not genuine, as work has only been carried on there for a few months, and that merely by a native catechist. On another occasion, Mr. Bethke interfered in a case in which the Mission was not in the remotest degree interested, and there is strong evidence to show that he extorted a sum of 370 dollars from the petty official concerned. Mr. Bach, who was the chief cause of the riot at Lienchow in 1901, is returning shortly with some assistants, and they propose to carry on work in the Leichow peninsula with a view, as they declare, of checking Catholic influence. It seems that the German Consular authorities have no power to deport dangerous characters, and it is to be feared that these people may be the cause of local trouble if they continue to behave in the outrageous manner which has distinguished their conduct in the past. French officers have been recently surveying the country between Kuangchouwan and the West River, and if a railway is built that port will probably be made the terminus instead of Pakhoi. There are three French schools at Kuangchouwan with about sixty pupils. Here there is one under a French schoolmaster with some twenty pupils. A French post-office has now been completed, and a French clerk arrived recently to take charge. A hospital is also to be built. There is already a French doctor, who gives his services gratis to Chinese. It may be mentioned here that the French priests on Weichou Island have a stock of 500 rifles supplied by the French Government for distribution amongst their converts (who number some 4,000) in case of attack by pirates. The postal service under the Imperial Maritime Customs is being gradually extended. There is at present daily communication with Lienchow, four times a-week with Chinchou, and three times a-week with Nanning viâ Chinchou and Hsiao Tung. A courier service to Kaochou and Yulin is also about to be started. The deputy who, as reported by my predecessor, arrived here in September for the purpose of collecting a tax on opium, returned to Canton as soon as the decision to abandon the tax became known, without, as far as I can ascertain, any actual levy having been made. Commercial. The Customs Returns have not yet been completed, but I understand that they will show a falling off in the trade of the port of some 20 per cent. This appears to be partly due to a diversion of the trade to Kuangchouwan, whence it passes into the interior almost, if not entirely, free of duty. Anpu, which formerly took a considerable quantity of Pakhoi imports, is now supplied from that port at much lower rates than it can be from here; for instance, yarn is sold there 2 dollars a bale cheaper than here, which can only be accounted for by its escaping import duty. Considerable quantities of opium are also smuggled through. The trade is, in fact, already assuming fairly large proportions, the imports from the 1st April to the 30th June being valued at 410,000 dollars, and the exports at 215,000 dollars, and recently several steamers have cleared from Hong Kong with cargoes for that trip only. Launches from Canton and Hong Kong call there frequently, and I am told that some of these visit Leichou and other non-Treaty places along the coast. The German gun-boat "Tiger" came here in October with a Consular officer on board. The Prefect and Magistrate came down from Liechow to discuss with him two somewhat trivial cases which had been referred to the German Consul at Canton by this Consulate some time ago. Both cases were settled. Chinese gun-boats have visited the port several times during the quarter. Dr. Mudra arrived in November to take charge of the newly-established German Consulate. He will also have control over the Vice-Consulate at Kiungchow. I am informed the chief reason for the appointment is a desire to control the doings of the missionaries. Major Feng Tien Huang passed through in November to replace Major Liang at Lienchow. General Pan has been ordered to proceed to Kuanghsi, and will be temporarily replaced by Li Chia Cho, who will also act as Magistrate of Chinchou vice Lu Wei Yu. H. A. LITTLE, Consul. Pakhoi, January 12, 1903. (Signed)
Baseline (Original)
2 3 3 78 Smuggling of arms, Missionaries. (Confidential.) Activity of French, The extreme west of the province appears also to have been the scene of serious disturbances, for the Catholic priests who took refuge some time ago in Kueichou have since been obliged to retire further from the border, and it is stated that the bandits succeeded in capturing the town of Hsingyi. In view of the large number of lawless men scattered over the province and the severe distress from which many districts are suffering, amounting in some places almost to famine, it is pretty safe to predict that the coming winter will see the outbreak of wide- spread disorder such as prevailed last year. From one or two cases that have come to light, it would appear that considerable quantities of arms are being smuggled into these provinces. Recently a boat was seized in Kuanghsi on suspicion and 200 rifles found on board. It was elicited from the prisoners that the same boat bad previously smuggled 500. In connection with this affair, it transpired that there was a plan to capture Governor Wang when he was at Hsunchow, on his way to Nanning. It will, perhaps, be remembered that a correspondent of a Hong Kong paper stated that he had been surrounded there by the brigands. Repeated thefts, or possibly clandestine sales, of rifles belonging to the Annamite troops on the frontier have lately been occurring. A big smuggling trade is said to be carried on through Kuangchouwan, and, no doubt, arms find their way through as well as opium and other goods. When Mr. Werner was in charge of this Consulate, about a year ago, more than once on the improper interference of the German missionaries in native cases. he reported During the short time I had charge of German interests several instances of similar mis- conduct on their part were brought to my notice. The Prefect of Lieschow complained to me that a Mr. Bethke bad applied on behalf of a convert to farm a certain tax station, and when this was refused-there being no reason for turning out the then farmer-he had preferred a charge of extortion and robbery against a Customs officer, and had threatened to make trouble in respect of the matter unless his application for the farm were granted. Shortly after, Pastor Witt interfered in a case of a claim made by a Chinese merchant residing and carrying on business in Hong Kong against a local trader, on the ground that a convert, a person of notoriously evil fame, had capital invested in the plaintiff's business. An indirect and, perhaps, somewhat remote consequence of this was a disturbance made by the relatives of the defendant at the shop of the native agent of a British firm where the plaintiff was staying, during which goods belonging to the firm were damaged and stolen, the loss being, however, subsequently made good. About the same time, trouble occurred near Lienchow between Catholic converts and a number of people nominally belonging to the German Mission, resulting in several of the former being wounded and some of their standing crops being destroyed. It appears that a few years ago a section of the chief clan in that locality joined the Catholic Church, thereby exciting the resent- ment of the remainder who had long been seeking an opportunity to revenge themselves on their kinsmen. Taking advantage of the presence of a German missionary in the neighbourhood they became nominal adherents of the Mission, and relying on the promises of protection, which it seems to be the practice of the German missionaries to freely give to their followers, they made a dispute about the use of a fish-pond the pretext for a quarrel, and attacked the Catholics with the results above described. Mr. Bethke, on hearing of the affair, at once proceeded to the scene of the occurrence and promised his people German protection. The French Consul telegraphed to the Viceroy, and told the Prefect he would summon a gun-boat if any further acts of aggression were committed; he also sought my assistance in the matter. I wrote to the Prefect urging upon him the importance of maintaining order, regardless of whether the parties were Catholics, Protestants, or otherwise, and advising him to deal with the case as if it was a purely native one. Finally, the matter was amicably settled through the local gentry by the aggressors paying 800 dollars compensation. There are supposed to be some fifty German couverts in that district, but it is evident they are not genuine, as work has only been carried on there for a few months, and that merely by a native catechist. another occasion Mr. Bethke interfered in a case in which the Mission was not in the: On remotest degree interested, and there is strong evidence to show that he extorted a sum of 370 dollars from the petty official concerned, riot at Lienchow in 1901, is returning shortly with some assistants, and they propose to Mr. Bach, who was the chief cause of the. carry on work in the Leichow peninsula with a view, as they declare, of checking Catholic influence. It seems that the German Consular authorities have no power to deport dangerous characters, and it is to be feared that these people may be the cause of local. trouble if they continue to behave in the outrageous manner which has distinguished their conduct in the past. French officers have been recently surveying the country between Kuangchouwan and the West River, and if a railway is built that port will probably be made the terminus instead of Pakhoi. There are three French schools at Kuangchouwan with about sixty pupils. Here there is one under a French schoolmaster with some twenty pupils. A French post- office has now been completed, and a French clerk arrived recently to take charge. A hospital is also to be built. There is already a French doctor, who gives his services gratis to Chinese. It may be mentioned here that the French priests on Weichou Island have a stock of 500 rifles supplied by the French Government for distribution amongst their converts (who number some 4,000) in case of attack by pirates. The postal service under the Imperial Maritime Customs is being gradually extended. Chinese postal There is at present daily communication with Lienchow, four times a-week with Chin- service. chou, and three times a-week with Nanning viâ Chinchou and Hsiao Tung. A courier service to Kaochou and Yulin is also about to be started. The deputy who, as reported by my predecessor, arrived here in September for the purpose of collecting a tax on opium, returned to Canton as soon as the decision to abandon the tax became known, without, as far as I can ascertain, any actual levy having been made. Commercial. The Customs Returns have not yet been completed, but I understand that they will Decrease of trade. show a falling off in the trade of the port of some 20 per cent. This appears to be partly due to a diversion of the trade to Kuangchouwan, whence it passes into the interior almost, if not entirely, free of duty. Anpu, which formerly took a considerable quantity of Pakhoi imports, is now supplied from that port at much lower rates than it can be from here; for instance, yarn is sold there 2 dollars a bale cheaper than here, which can only be accounted for by its escaping import duty. Considerable quantities of opium are also smuggled through. The trade is, in fact, already assuming fairly large proportions, the imports from the 1st April to the 30th June being valued at 410,000 dollars, and the exports at 215,000 dollars, and recently several steamers have cleared from Hong Kong with cargoes for that trip only. Launches from Canton and Hong Kong call there frequently, and I am told that some of these visit Leichou and other non-Treaty places along the coast. The German gun-boat "Tiger' came here in October with a Consular officer on Army and Navy. board. The Prefect and Magistrate came down from Lieuchow to discuss with him two somewhat trivial cases which had been referred to the German Consul at Canton by this Consulate some time ago. Both cases were settled. " Chinese gun-boats have visited the port several times during the quarter. Dr. Mudra arrived in November to take charge of the newly-established German Movements of Consulate. He will also have control over the Vice-Consulate at Kiungchow. I am officials. informed the chief reason for the appointment is a desire to control the doings of the missionaries. Major Feng Tien Huang passed through in November to replace Major Liang at Lienchow. General Pan has been ordered to proceed to Kuanghsi, and will be temporarily replaced by Li Chia Cho, who will also act as Magistrate of Chinchou vice Lu Wei Yu. H. A. LITTLE, Consul. Pakhoi, January 12, 1903. (Signed)
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3

3

78

Smuggling of arms,

Missionaries. (Confidential.)

Activity of French,

The extreme west of the province appears also to have been the scene of serious disturbances, for the Catholic priests who took refuge some time ago in Kueichou have since been obliged to retire further from the border, and it is stated that the bandits succeeded in capturing the town of Hsingyi.

In view of the large number of lawless men scattered over the province and the severe distress from which many districts are suffering, amounting in some places almost to famine, it is pretty safe to predict that the coming winter will see the outbreak of wide- spread disorder such as prevailed last

year.

From one or two cases that have come to light, it would appear that considerable quantities of arms are being smuggled into these provinces. Recently a boat was seized in Kuanghsi on suspicion and 200 rifles found on board. It was elicited from the prisoners that the same boat bad previously smuggled 500. In connection with this affair, it transpired that there was a plan to capture Governor Wang when he was at Hsunchow, on his way to Nanning. It will, perhaps, be remembered that a correspondent of a Hong Kong paper stated that he had been surrounded there by the brigands. Repeated thefts, or possibly clandestine sales, of rifles belonging to the Annamite troops on the frontier have lately been occurring. A big smuggling trade is said to be carried on through Kuangchouwan, and, no doubt, arms find their way through as well as opium and other goods.

When Mr. Werner was in charge of this Consulate, about a year ago, more than once on the improper interference of the German missionaries in native cases. he reported During the short time I had charge of German interests several instances of similar mis- conduct on their part were brought to my notice. The Prefect of Lieschow complained to me that a Mr. Bethke bad applied on behalf of a convert to farm a certain tax station, and when this was refused-there being no reason for turning out the then farmer-he had preferred a charge of extortion and robbery against a Customs officer, and had threatened to make trouble in respect of the matter unless his application for the farm were granted. Shortly after, Pastor Witt interfered in a case of a claim made by a Chinese merchant residing and carrying on business in Hong Kong against a local trader, on the ground that a convert, a person of notoriously evil fame, had capital invested in the plaintiff's business. An indirect and, perhaps, somewhat remote consequence of this was a disturbance made by the relatives of the defendant at the shop of the native agent of a British firm where the plaintiff was staying, during which goods belonging to the firm were damaged and stolen, the loss being, however, subsequently made good. About the same time, trouble occurred near Lienchow between Catholic converts and a number of people nominally belonging to the German Mission, resulting in several of the former being wounded and some of their standing crops being destroyed. It appears that a few years ago a section of the chief clan in that locality joined the Catholic Church, thereby exciting the resent- ment of the remainder who had long been seeking an opportunity to revenge themselves on their kinsmen. Taking advantage of the presence of a German missionary in the neighbourhood they became nominal adherents of the Mission, and relying on the promises of protection, which it seems to be the practice of the German missionaries to freely give to their followers, they made a dispute about the use of a fish-pond the pretext for a quarrel, and attacked the Catholics with the results above described. Mr. Bethke, on hearing of the affair, at once proceeded to the scene of the occurrence and promised his people German protection. The French Consul telegraphed to the Viceroy, and told the Prefect he would summon a gun-boat if any further acts of aggression were committed; he also sought my assistance in the matter. I wrote to the Prefect urging upon him the importance of maintaining order, regardless of whether the parties were Catholics, Protestants, or otherwise, and advising him to deal with the case as if it was a purely native one. Finally, the matter was amicably settled through the local gentry by the aggressors paying 800 dollars compensation. There are supposed to be some fifty German couverts in that district, but it is evident they are not genuine, as work has only been carried on there for a few months, and that merely by a native catechist. another occasion Mr. Bethke interfered in a case in which the Mission was not in the: On remotest degree interested, and there is strong evidence to show that he extorted a sum of 370 dollars from the petty official concerned, riot at Lienchow in 1901, is returning shortly with some assistants, and they propose to Mr. Bach, who was the chief cause of the. carry on work in the Leichow peninsula with a view, as they declare, of checking Catholic influence. It seems that the German Consular authorities have no power to deport dangerous characters, and it is to be feared that these people may be the cause of local. trouble if they continue to behave in the outrageous manner which has distinguished their conduct in the past.

French officers have been recently surveying the country between Kuangchouwan

and the West River, and if a railway is built that port will probably be made the terminus instead of Pakhoi.

There are three French schools at Kuangchouwan with about sixty pupils. Here there is one under a French schoolmaster with some twenty pupils.

A French post- office has now been completed, and a French clerk arrived recently to take charge. A hospital is also to be built. There is already a French doctor, who gives his services gratis to Chinese.

It may be mentioned here that the French priests on Weichou Island have a stock of 500 rifles supplied by the French Government for distribution amongst their converts (who number some 4,000) in case of attack by pirates.

The postal service under the Imperial Maritime Customs is being gradually extended. Chinese postal There is at present daily communication with Lienchow, four times a-week with Chin- service. chou, and three times a-week with Nanning viâ Chinchou and Hsiao Tung. A courier service to Kaochou and Yulin is also about to be started.

The deputy who, as reported by my predecessor, arrived here in September for the purpose of collecting a tax on opium, returned to Canton as soon as the decision to abandon the tax became known, without, as far as I can ascertain, any actual levy having been made.

Commercial.

The Customs Returns have not yet been completed, but I understand that they will Decrease of trade. show a falling off in the trade of the port of some 20 per cent. This appears to be partly due to a diversion of the trade to Kuangchouwan, whence it passes into the interior almost, if not entirely, free of duty.

Anpu, which formerly took a considerable quantity of Pakhoi imports, is now supplied from that port at much lower rates than it can be from here; for instance, yarn is sold there 2 dollars a bale cheaper than here, which can only be accounted for by its escaping import duty.

Considerable quantities of opium are also smuggled through. The trade is, in fact, already assuming fairly large proportions, the imports from the 1st April to the 30th June being valued at 410,000 dollars, and the exports at 215,000 dollars, and recently several steamers have cleared from Hong Kong with cargoes for that trip only. Launches from Canton and Hong Kong call there frequently, and I am told that some of these visit Leichou and other non-Treaty places along the coast.

The German gun-boat "Tiger' came here in October with a Consular officer on Army and Navy. board. The Prefect and Magistrate came down from Lieuchow to discuss with him two somewhat trivial cases which had been referred to the German Consul at Canton by this Consulate some time ago. Both cases were settled.

"

Chinese gun-boats have visited the port several times during the quarter.

Dr. Mudra arrived in November to take charge of the newly-established German Movements of Consulate. He will also have control over the Vice-Consulate at Kiungchow. I am officials. informed the chief reason for the appointment is a desire to control the doings of the missionaries.

Major Feng Tien Huang passed through in November to replace Major Liang at Lienchow.

General Pan has been ordered to proceed to Kuanghsi, and will be temporarily replaced by Li Chia Cho, who will also act as Magistrate of Chinchou vice Lu Wei Yu.

H. A. LITTLE, Consul.

Pakhoi, January 12, 1903.

(Signed)

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