CO129-369 - Acting Governor May Governor Sir Lugard - 1910 [10-11] — Page 518

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"frequent in such places, but there is no provision "for keeping local registers of members, and it is "expedient that such provisions as this Ordinances "containa be made in that behalf”,

That Ordinance has since been amended by

Ordinance 20 of 1909, and these Ordinances enable & Company

registered at Hongkong to keep in any place in which it trans- -acts business a register of mambers, subject to satisfying the Register of Companies that a principal part of the business of

the Company is carried on "at or near the placo" where it

desires to keep such register.

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Hitherto great doubt had existed as to the

legality of a practice which had become prevalent in Shanghai

of keeping local registers of shareholders. The existence of

these Ordinances are referred to by the chief Justice in his

judgment * He says "Furthermore the Government of Hongkong

has recognised the practice, (1.*. of Shanghai Companies

registering here?) and has facilitated it by passing certain

Ordinances dealing with local registers".

Now as I have pointed out it has been al-

-ready decided that the Government should permit Companies

carrying on business in the Treaty Ports to register here, and

to refuse them would mean a substantial less of revenue be the

Colony, and the question now arises as to the practical methods

of carrying into effect the aggestions contained in the Judgment,

Txiỵ This question is one which in my

سال

●pinion should receive the consideration of the Home Authoriti»

-as and I submit that it will be unwise to proceed with the

Companies Consolidation Bill now before the Council until it

has received their mature consideration.

The Bill may be amended in the first place

by inserting express words providing that a company carrying on

business in a Treaty Port may be registered. Clause 3 may be

amended by adding certain words thus:-

3. Any seven or more persons (or where the Company