CO129-395 - Public Offices - 1912 — Page 535

rsa

mang 3 wal?

BKA A

A Swiss and a China-

man, A & B, have a valuable property which they wish to They go devoloy in China by forming a limited company.

illustration will show what I mean.

528

to an expert for advice C, who undertakes to float a company. Even if 0 and most of the subsoribers are Brit lah the fact that A or B is not would prevent the company from applying for British Registration, for A.3. and 0. are

promoters.

4.

Consulate local register. I do not disapsrove of them in principle, but the register in Shanghai gives all

I have no objec- that is wanted in the way of information.

tion to adding an Artiole providing for the list which Mr.

Fraser grasses for.

5.

I have always Hongkong as a place for registration. preferred the idea that the Registrar of Companies in Shanghai should be an imperial officer, and the register

imperial and not colonial.

The Consul-General will be in

a very much better position to deal with such an officer than he would with a Hongkong Official, and I sympathise with Mr. Fraser in his fear that the status of the deputy registrar may lead to friction and attempe by Hongkong to

Both Mr. Fraser and Kr. control the register in Shanghai.

Bourne go further, however, and wish that there should be executive control of the formation of companies who are to do business in China in other words to limit the law as expressed in askian section 2 of the Companies Consolida- tion Act, produced in the Hongkong Ordinance, which provides that any seven or more persons associated for any lawful

The desirability of auch con- purpose may form a company.

trol may be real, but I doubt its efficacy, for there is nothing to prevent such a company from registering in

Hongkong.