CO129-389 - Governor Sir Lugard Acting Governor Claud Severn - 1912 [3-4] — Page 408

Enclosure 2.

C. O.

15453

RECR

EOE 20 MAY 12

ATTORNEY GENERAL'S CHAMBERS,

Hongkong... 24th. Apri

401

.1912.

Report on Ordinance No..11.. of 1912.

I have cxamined the accompanying Ordinance entitled

‘An Ordinance to prohibit the importation and cireula-

tion of foreign copper and brenze coins."

and I am of opinion that the Ordinance is one which is not contrary to the Governor's Instructions,

Up to recently Hong Kong copper coin was at a very large dis-

seunt but recent measures fer redemption has reduced it to a figure

which it is considered cannot be further reduced without legislation on

account of the free circulation of foreign coins.

As the discount causes great hardship to many businesses in

the Colony and as the amount of Hong Kong coin in circulation and in

stock at the present time is estimated to be ne mere than is required

for the needs of the Colony, opportunity is new taken te prohibit the

circulation of foreign coins.

It is believed that, with the successful operation of this

Ordinance, the coin in question will rise, almost if not quite, te par.

The principal of the Ordinance has been approved by H.M. Secretary of

State and by residents representing all sections of the busines,