CO129-383 - Public Offices - 1911 — Page 65

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[This Document is the Property of His Britannic Majesty's Government.]

OPIUM.

[March 239 O

CONFIDENTIAL.

[10640]

No. 1.

64

SECTION 13345

Rref 25 APR 11

Vay

Sir,

China Association to Foreign Office.-(Received March 23.)

159, Cannon Street, London, March 20, 1911.

IN reference to my letter of the 17th ultimo, the committee of this association has received from its Hong Kong branch a copy of the proclamation issued by the Canton authorities in the matter of opium regulations, of which I have the honour to enclose a transcript.

寇

The purport of the new regulation appears to be to perpetuate the already existing monopoly or opium farm while transferring it to other hands. No one is to be allowed to purchase raw opium unless he holds a licence from the monopolists, for which he pays licence fee," which is in effect the additional tax now raised to 50 cents per tael of prepared opium, being equivalent to a tax of 500 dollars per chest over and above the duty and li-kin. Further, provision is made that in proportion as consumption decreases the additional tax is to be raised, with the object apparently to secure that the yield of the tax shall be the same whatever the amount passing into consumption.

It may be remarked incidentally that this is a provision which must speedily defeat its own end: but whatever the object in view may be, the illegality of the tax and of the methods by which it is sought to enforce it is now more apparent than ever.

I am, &c.

H. C. WILCOX,

Secretary,

Enclosure in No. 1.

Proclamation issued by Canton Authorities.

CHAN, provisional treasurer of Kwong Tung, &c., appointed by Imperial command,

issue a notice for general information.

The matter in connection with the levy of taxes was submitted to his Excellency Teang, late Acting Viceroy of the Two Kwongs, who issued instructions to the effect that as complaints were repeatedly laid against merchant Leing Chiu Tong in his undertaking the management of the licence fees, and as the management was unsatis- factory it was proper he should be suspended. Thereupon I, the treasurer, in conjunction with the taotai of industry, went more than once to the General Chamber of Commerce to call together the raw opium guild to discuss the course of action. Subsequently, Chui Hung Yau, Jung Pin Tun and others, merchants of the guild, proposed and prepared amended regulations and applied to undertake the management. After thorough investigation had been made, a joint report was made to his Excellency Cheung, the Viceroy, who verbally directed that Chui Hung Yau and others, merchants of the said guild, be allowed to undertake the management. An order was thereupon issued authorising them to establish the Fuk Yuet Company (Limited), and directing them to commence (the payment of) the taxes and the collection (of fees) from the first day of the first moon of the present year (the 29th January, 1911); a report was also submitted (to the authorities) stating that circulars had been sent to the local officials of various districts for compliance.

All the above is on record.

Now the said merchants, Chui Hung Yeu, Jung Pui Tuu and others have fully prepared the sum of 80,000 dollars to be weighed at 7 (tael to the dollar), being advance deposit of the taxes, and submitted two orders for that sum for collection; they have also prepared concise and clear rules regulating the mode of procedure and regulations for the prevention of smuggling, requesting that they be placed on record, and that notices be issued to inform the people, and to direct all officials to afford the necessary protection.

The concise rules, eight in number, having been scrutinised and found practicable,

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