CO129-393 - Governor Sir May - 1912 [11] — Page 279

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are already in circulation in the market and owing to their daily fall in value, the issue of notes has already been suspended. Since however the revenue of the Government is as yet insufficient to meet the ex- -penditure, I presume no improvement can be made as regards the curren- -cy of the notes to the amount of $20,000,000 now in circulation, un- -less the proposed Foreign loan is raised, or as an alternative the Central Government supplies us with the required amount in full; other- -wise we can only wait with our hands folded and watch the ruin of the Province. As to your claim that the land-revenue of the Province should be included among the national revenue, in accordance with the law- -books, national custom and public opinion your claim can not be sup-

-ported: moreover, if all the indirect taxes and the land revenue of the Province are to be appropriated, let me ask you what revenue can

be left for the adudnistration of the province. As regards your sup- -position that the proposed loan way involve injury to land-ownership, I have already given above an explicit explanation on this point and I have no need to repeat it. After all my any failure to reform the cur- -rency of Canton notes as soon as possible will certainly lead to serious injury to the soldiers as well as the people, and will afford opportunity to bad characters to start a speedy and calamitous rising.

is Indeed there no remedy practicable other than the scheme of raising foreign loans, and again the land-revenue is the only security that can be given for the proposed loan. On the 15th. (Oct ?) I received a telegram from the President, stating that my proposed scheme had been submitted to the Legislature for discussion. Now since the Legislature represents the whole nation, all of you must have well realised the miserable condition of Kwong Tung, and we rely upon you for the removal of the impending danger and the maintenance of peace. I therefore sub- -mit you this telegram in the hope that you will duly discuss the scheme and decide with due justice, but will not be misled by the supposition of the Board of Finance that we the administrators of the Government of the Province have proposed to raise the loan simply be- -cause we have no responsibility in it. Then the people of the whole province of Kwong Tung will be deeply grateful.

From Wu Hon lian the Governor.

7th (actober)