CO129-349 - Governor Sir Lugard - 1908 [10-12] — Page 105

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nclosure 2.

101

circumstances the Government examination of the Farmer's

books could not possibly be effective. It would moreover

entail a constant daily examination by a specially qualifi-

-ed British Officer, with a small clerical staff, involving

a considerable cost even supposing such an Officer were

available which is not the case. I therefore asked the

Farmer to reconsider the matter and make a definite pro-

-posal as to the compensation he claims subject to no such

refund.

12.

Meanwhile I received Mr. Hutchi-

-son's very able report which is enclosed in this Despatch

and I considered it in Executive Council on the 24th.

August. It was then decided that a fair offer of compensa“

-tion to Divan-keepers would be one-third of their cor-

-rected capital as shewn in Table I of Mr. Hutchison's

report with an addition of 5 per centum on that one-third

aa compensation for disturbance. This would mean a sum of

$20,656 in all. It was also decided that as the basis of

further negotiation with the Opium Farmer a list of the

52 Divans in Class C of the 1st. and 2nd. Class Prepared

Opium Divans and the Dross Opium Divans should be handed

to the Opium Farmer and that he should be asked to state

what reduction in his rental he would claim in the event of

these