CO129-333 - Governor Nathan - 1906 [1-4] — Page 201

COPY.

Translation.)

Viceroy to Consul-General.

Sir,

199

Canton, 2nd. November, 1905.

I have the honour to acknowledge the receipt

of your letter in connection with the seizure of the Yao Hsiang Coal Depot belonging to Chou Tung Sheng, to make good the latter's

defalcations of public money.

You state that the Governor of Hongkong has

received an application from the National Bank of China to the

effect that the 40,000 tons of coal originally in the depot were

re-

mortgaged to the Bank for $200,000, but that various payments have been made and the present amount is only some 33,000 tons; the sum

still due on the mortgaged is $165,000. The mortgage deed only

shows the signature of Feng Bua Chun and is not signed by Chou

Tung Sheng. The mortgage moreover was effected prior to the

seizure, and the coal properly belongs to the Bank, even if Chou

Tung Sheng has shares in it; you accordingly request me to release

it.

A report which i have received in this con-

-nection from the Prefect informs me that, according to the

evidence of Feng Chi Wu, accountant of Chou Tung Shaus, the latter

has as a matter of fact an interest to the extent of 100,000 taels

in the depot, and has further advanced a sum of 50,000 to the

concern; he has also 3,000 shares in the National Bank of China,

to the total value of $300,000. Feng Bua Chun is his agent, and

Feng dua Chun's business transactions were all based on Chou's

capital; a large amount of Chou's money conseruently passed through Feng's hands. In the present instance it was owing to Feng Nua

Chun's